Tag: Royal Mail

UK Royal Mail announces new network for moving mail by air

Royal Mail today announced plans to reshape its air distribution network in the latest stage of the complete restructuring of the way mail is moved around the UK. Royal Mail currently uses 39 flights each week night, from 24 airports, to distribute 6.6 per cent of the daily mailbag of 82 million items across the country. Now, to further improve efficiency and reduce costs, Royal Mail has decided to simplify its network. It will use larger jet aircraft to transport more mail – but using under half the number of services each week night, and operating from just 18 airports.

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Royal Mail improves but misses half its service targets

Royal Mail is today expected to publish quarterly figures showing that it is still failing to achieve the minimum performance standard for over half its service targets including first class mail. Although performance for first class mail improved slightly in the first quarter, Postwatch is concerned that having failed 80% of its performance targets last year, Royal Mail is still
falling below the minimum acceptable standard for nine of it’s fifteen services so early in the year. Meanwhile, the regulator Postcomm, which sets the targets, is currently considering what action it will take as a result of last year’s poor performance.

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UK postal workers set to vote on strike

A strike ballot of 160,000 postal workers is likely today if the union’s talks with Acas officials fail to resolve a pay dispute. Ballot papers will be sent out with results expected in mid-September unless the talks bring “radical” developments, the Communication Workers’ Union said. If industrial action is approved, it would be the first national postal strike in seven years and a blow to Allan Leighton, Royal Mail’s chairman.

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One-price-goes-anywhere UK mail service set to unravel as regulator gives competitors access

Postcomm’s access proposals will put Royal Mail’s recovery at risk by forcing the company to deliver millions of letters for competitors at a loss even after all the efficiency gains set out in the company’s turnaround plan, a submission to the regulator today makes clear. The funding and pricing of the one-price-goes-anywhere mail service in the UK will unravel if the regulator’s proposals remain unchanged. In addition, those customers who aren’t targeted by new access competitors seeking profitable business mail will find themselves picking up the additional costs in the form of higher stamp prices, Royal Mail has warned.“Our position is very, very simple,” said Chairman Allan Leighton. “If we have access services they must be profitable for both Royal Mail and new competitors.”

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Postal groups not keen to cover in strike

Private sector postal companies are lukewarm about providing cover if there is a national postal strike, undermining a central plank of the Royal Mail’s bargaining strategy with unions.
The Royal Mail has warned the union it “will not emerge from even the threat of a ballot unscathed . . . If postmen and women walk out, customers will walk away and competitors walk in.” But the private companies claim to be lukewarm about the prospect of delivering post in the event of a strike. Four companies – Hays, TPG of the Netherlands, UK Mail and Express Dairies – hold licences to operate in the UK postal market, mostly handling business post.

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