Royal Mail (IDS) Share Price Fell 3.50% Amid Multiple Problems

Today, the Royal Mail share price, also known as International Distributions Services PLC (LON: IDS), fell 3.50% despite a lack of news releases from the parcels and letters delivery company. The company’s shares have been doing well recently after recovering from the early September to late August lows.

The company has been struggling to make deliveries across the UK, and there have been multiple complaints from its customers in different locations about delays in receiving mail sent to them. The company is still trying to find its footing following the end of strike action by the Communication Workers Union (CWU) a few months back. 

Still, the company recently announced plans to hire about 16,000 temporary workers to help it cope with the busy festive shopping period, where the number of parcels and letters sent tends to double. The company is also seeking additional space to sort mail and parcels during the busy season. 

Royal Mail intends to hire temporary workers from late October to early January to cover the holiday shopping period from Black Friday and Cyber Monday in November into the Christmas period and a few days after. 

A few days ago, Royal Mail’s online tracker malfunctioned, leaving many customers without their deliveries and no practical way of tracking the status of their parcels and letters. This is just one of the many problems that keep popping up at Royal Mail. 

A village in Poringland, near Norwich, recently said that they had been having issues with their parcels and mail delivered by Royal Mail since July, with the firm delivering packages up to three weeks late and not delivering all the mail and parcels expected by the villagers. 

Royal Mail customers are complaining that they have had to miss doctors’ appointments and other crucial events since the mail sent to notify them of these critical life events arrived exceptionally late, making them miss out on critical occasions. 

The company still has a long way to go before it can reach profitability, but on the bright side, there will be no more strikes during the busy holiday shopping season. The company will also hire a new CEO as Simon Thompson steps down. 

Royal Mail (IDS) share price. 

The Royal Mail share price fell 3.50% to trade at 252.35p, from Friday’s closing price of 261.50p.