Tag: Royal Mail

Royal Mail to outsource GBP1.5bn IT operations

Royal Mail is preparing to outsource its nationwide IT operations in a deal worth up to pounds 1.5bn. The company is expected this week to sign a 10-year agreement with a consortium including CSC, the American computer services group, and BT, the telecoms giant. The deal involves the transfer of 2,000 jobs out of the Royal Mail group. The move is part of Royal Mail’s drive to focus on its core operations and to slash operating costs. The group has already outsourced building operations and maintenance as well as employee health services.

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Forgoing Monopoly

The first phase of deregulation intended to open up 30 per cent of Royal Mail’s letter market to competition is under way. While it is far too early to say how much impact this has had, a question that does need addressing is how direct mailers are going to respond. Will they be looking to switch to other postal carriers? Will they be able to adopt a more flexible approach to their mailing schedules? And what will be the best way to buy in this new, competitive environment? A number of mailing houses remain wary of new postal carriers entering the market, and from what they have seen so far, cannot see them persuading mailers to switch from Royal Mail.

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Minister delivers rural funding for N Ireland post offices

Ulster’s struggling rural post offices were yesterday given a cash boost of GBP750,000. NIO Minister Des Browne announced the funding after a News Letter campaign highlighted how postmasters in rural communities were fighting for survival. Mr Browne said it was important people in the most disadvantaged urban communities continue to have access to the vital services provided by post offices. Consumer watchdog, Postwatch Northern Ireland, said the funding was “a much needed boost for post offices in deprived areas”.

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UK milkmen set to deliver business post to households alongside daily pints

Letters and parcels will soon become a regular feature of the morning milk delivery. Express Dairies, which runs 3,500 milk rounds across the country, has won a long-term licence to compete with Royal Mail, delivering business post to households. The new licence, which will have a minimum life of seven years, will allow Express to deliver up to 46m postal items each year. It replaces an interim licence, granted by regulator Postcomm last summer, which allowed Express to deliver up to 4.6m packets and letters from businesses to households.

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European Commission intends to exempt REIMS II from the antitrust rules but requires third party access

Today, the Commission published a notice in the Official Journal inviting third parties to submit their comments on the so-called Agreement for the Remuneration of Mandatory Deliveries of Cross-Border Mails (REIMS II). REIMS II is an agreement on the remuneration that public postal operators (PPOs)° pay each other for the delivery of incoming cross-border mail. This remuneration is also referred to as “terminal dues”. Seventeen PPOs from the European Union and the EEA are parties to the REIMS II agreement. After receiving the comments of interested third parties to be submitted one month after publication of the OJ the Commission will take a final decision on whether the system of terminal dues can be exempted from the antitrust rules. The Commission will also decide on the length of the exemption to be granted.

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