Tag: Royal Mail

UK post service rivals reach surprise pact

Posted by | Dec 18, 2003 | |

Royal Mail and Business Post shocked the postal regulator yesterday by agreeing to an eleventh hour deal on access pricing. The companies, which have been wrangling for nearly two years over how much Business Post must pay to access the so-called “final mile” of Royal Mail’s delivery network, announced they had signed heads of terms on the issue. However, the details of the deal are likely to remain confidential until January. The news came as a surprise to Graham Corbett, the outgoing chairman of postal regulator Postcomm. He had been due to publish a decision on access pricing tomorrow, after the two companies had asked the regulator to mediate on the issue. “This is like being on the courtroom steps,” he said. “They have suddenly found themselves thinking that they don’t want a deal imposed on them by a judge or a regulator.”

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Postwatch comment on UK Mail and Royal Mail agreement

Posted by | Dec 17, 2003 | |

Peter Carr, chairman of postal watchdog Postwatch, said: “It is good news that UK Mail and Royal Mail have reached an outline agreement – we hope that this will result in a full agreement by the end of January. “However, the regulator was due to announce a decision in just two days’ time and this would set a standard for other companies wishing to compete in the UK postal market.
It is important that Postcomm publishes this information as planned so that other operators can proceed now to make decisions on market entry. More than one competitor is needed to provide choice to customers.”

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EWS turns to High Court for clarity on Royal Mail contract

Posted by | Dec 17, 2003 | |

UK freight train company EWS has launched High Court proceedings against Royal Mail, which is to axe all overnight mail train services. EWS has confirmed that papers filed with the London High Court at the end of September have asked a judge to ‘clarify’ some disputed clauses relating to ‘service performance’ in the 10-year contract with Royal Mail. A spokesperson for EWS said: ‘We are seeking clarification by the court of an issue relating to Royal Mail’s interpretation and of performance criteria.’ In June, the state-owned post office revealed that it was terminating a 10-year contract, signed in 1996, that is worth GBP50m ($87.44m) a year in revenues to EWS.

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Unions split over Royal Mail recovery plan

Posted by | Dec 13, 2003 | |

Royal Mail yesterday won complete backing for its crucial recovery plan from the main postal workers’ union, the CWU – and angered another with plans for up to 3,000 redundancies among managers. The company and the CWU are understood to have reached an agreement that will trigger 10% pay increases for 160,000 postal staff and scrap the second daily delivery. The two sides, who met in considerable secrecy at the conciliation service, Acas, are also understood to have reached a deal on cost of living allowances in London that were at the heart of a spate of unofficial wildcat strikes in the capital. But Peter Skyte, the national secretary of Amicus communication managers, said the “sacking” of 3,000 non-operational managers was a “kick in the teeth” for people who kept the postal service going during the unofficial strikes.

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