The Royal Mail union, the Communication Workers Union (CWU), is to launch a strike ballot amid plans for the Royal Mail Group (RMG) to create a new legal trading entity for Parcelforce Ltd.
Earlier this year, Parcelforce informed the CWU that it wanted to explore a scenario where it had more managerial and commercial autonomy and could differentiate its future strategy from the widely reported Royal Mail Parcels strategy.
In July, Rico Back, CEO, the RMG, informed the CWU that it intended to proceed with the change and a formal proposal was received on the July 29. Further discussions have since taken place.
As a priority the CWU has sought assurances that the RMG would not sell, divest or enter into a joint venture in relation to Parcelforce now or in the future and that it would remain an integral part of the RMG. It also sought a commitment that the plan did not signal the breakup of the group and that no further plans exist now or in the future to create further limited companies within RMG.
The RMG did not provide acceptable responses to the assurances that were sought by the CWU.
Shane O’Riordain, Royal Mail, commented, “We have not received formal notification of a ballot from CWU. We are disappointed that they have set out a ballot timetable while discussions are ongoing.”
The CWU will begin the ballot from September 24, unless an agreement can be reached before then, the results will be expected in early October.
Source: Royal Mail/CWU
