Royal Mail CEO tipped for imminent departure By Proactive Investors

Proactive Investors – International Distributions Services PLC boss Simon Thompson is poised to step down from the Royal Mail (LON:) owner after a long and painful battle with workers over pay and conditions, a damaging cyber attack and criticism that he was untruthful in a parliamentary grilling.

The board of the 250-listed company is close to announcing his departure, Sky News reported overnight, citing both disillusionment on Thompson’s part and the board’s desire for a fresh start.

IDS, which reports results on 18 May, last month agreed a pay deal with the Communication Workers Union after a year-long battle, which included Thompson and the board threatening workers with administration and that Royal Mail could be sold off.

However, some analysts said the deal has left as many questions as it answered, with doubt cast over whether the 10% raises and £500 lump sum payments could be funded by the agreed changes.

Thompson, a former chief product officer at Ocado (LON:) and manager of the UK’s coronavirus test and trace app, joined what was Royal Mail Group as a non-executive board member in late 2017 and was made CEO in 2021.

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