Tag: Royal Mail

Royal Mail partner denies competition claim

Posted by | Jun 11, 2003 | |

The Royal Mail’s claim that it is suffering from the introduction of competition has been undermined by Pitney Bowes, one of the mail operator’s main commercial partners. Pitney Bowes, the company that invented the franking machine and handles 20 per cent of UK mail sent each day, says Royal Mail’s position is unlikely to be affected by competition. It said the operator was unlikely to lose much market share to rivals in the next three years and might even benefit from the introduction of competition in mail markets. The comments undermine complaints by Allan Leighton, chairman of Royal Mail, that the postal regulator has jeopardised Royal Mail’s three-year restructuring plan by introducing too much competition too fast.

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Royal Mail moves ahead with new integrated road and air network

Posted by | Jun 6, 2003 | |

Royal Mail today revealed its plans to have a more efficient and flexible UK-wide distribution network, integrating air and road, in place by the end of the financial year. Original plans to include rail in the new network have now been dropped after Royal Mail failed to reach agreement with its rail freight supplier because the cost was too high. As part of a complete review of its road, rail and air network, Royal Mail announced last year that it intended to stop using rail for the distribution of First Class mail due to poor reliability, but would continue using rail for less time critical items. However, following the failure of protracted negotiations with rail freight supplier EWS over the transfer of existing services to the new network, Royal Mail has concluded that it has no alternative but to move forward with a restructure based on a road and air network only.

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Parcelforce optimistic despite losses

Posted by | Jun 2, 2003 | |

The UK Royal Mail’s parcels arm, Parcelforce Worldwide, continued to haemorrhage money in the year to March, doubling its losses to £187m (t261.8m).
Parcelforce, which in the last year has completed its transformation to an express-only service for time-guaranteed deliveries, is continuing to eliminate its unprofitable products and inefficient operations, although progress has not been as rapid as in mail operations. But Allan Leighton, Royal Mail chairman, said Parcelforce remained on course to break even in 2004/2005 after 10 years of losses.

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Strike threat in UK postal pay claim

Posted by | Jun 2, 2003 | |

Leaders of thousands of postal workers are drawing up plans for a “substantial” pay claim backed up by the threat of industrial action, it was revealed today. The newly-elected deputy general secretary of the Communication Workers Union said he believed postmen and women were “very restless” over pay and wanted a decent increase this year. Dave Ward pledged to campaign for a new basic salary of GBP300-a-week, compared to the present basic of GBP261. A pay claim will be tabled in October which is expected to call for a “substantial” rise above the rate of inflation. “The mood is that come October we will be looking for a substantial increase and we will be prepared to back that up with industrial action.

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