Festive post saved as strikes called off

Published on Thursday 5 November 2009 21:27

THE threat of major disruption to postal services over Christmas has been lifted, after union leaders and Royal Mail agreed to fresh talks in the new year.

The truce prevented 121,000 staff walking off their jobs today and on Monday and averted a threatened wave of industrial action in the busy festive period.

The agreement, brokered by the TUC, includes a "period of calm" to allow both sides to hammer out a longer-term agreement over Royal Mail's modernisation plan.

TUC general secretary Brendan Barber said: "The delivery of the terms of this agreement means that Royal Mail services will be free of any disruption up to and through the Christmas period. That's what Royal Mail want and that's what the (union] want and that's what both parties are committed to."

However, Mr Barber warned the dispute was not over and said that "harsh words" had been exchanged between management and the union in the months-long row. A lack of trust had been a major obstacle, he said.

While the Communication Workers' Union (CWU) has accepted the need for job losses, it has been angered over the lack of commitment from Royal Mail over how many jobs would be saved and the terms and conditions for remaining staff.

Last night, the CWU described the truce as an "interim agreement" and said the strike ballot remained in place.

But the union welcomed the deal, saying it had led to job security and improved terms and conditions for postal workers.

Dave Ward, CWU deputy general secretary, said: "There needs to be exceptional efforts to improve trust and relationships between CWU and Royal Mail. As a result, both the TUC and (mediator] Acas will have a continuing role to keep the discussions and agreement on track."

Mr Ward issued a plea to the government to tackle Royal Mail's 10 billion pension fund deficit. He said until it had been dealt with, it would be difficult to overcome "challenges" ahead.

Royal Mail managing director Mark Higson said he was "delighted" for customers that a "sensible agreement" had been reached that would allow deliveries to return to normal and let the company move forward with modernisation in the new year.

"We look forward to positive and constructive discussions on the next stage of Royal Mail's modernisation plan, which is key to the future of the company, all those who rely on it and to the future of the universal service."

Robert Hammond, of Consumer Focus, said: "This is a victory for common sense."

Business Secretary Lord Mandelson, whose attempts to part-privatise Royal Mail had been blamed for the strike by unions, said: "Strikes do nothing to help Royal Mail, its business, its future prospects and, of course, the jobs and livelihoods of those who work in Royal Mail."