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Royal Mail workers discuss opposing CWU’s rotten pay award and agreements with billionaire Kretinsky

The Postal Workers Rank-and-File Committee (PWRFC) held an online meeting Sunday, “After the ballot: the way forward for postal workers.” It followed the Communication Workers Union (CWU) ballot last month on its pay award and agreements with new Royal Mail owners, billionaire Daniel Kretinsky’s EP Group.

World Socialist Web Site writer Tony Robson started by refuting CWU General Secretary Dave Ward and Deputy General Secretary Martin Walsh’s claim of an “overwhelming endorsement.” The 79.5 to 20.5 percent acceptance was in fact based on a historic low turnout: 57 percent of CWU members did not return a vote and only one in three voted in favour.

[Photo: Photo by Maureen Barlin / CC BY-NC-ND 2.0]

“The CWU bureaucracy has no mandate. Postal workers were told to rubber-stamp a framework agreement already imposed eight months earlier by the CWU’s postal executive on behalf of Kretinsky. The agreement endorsed EP Group’s £3.6 billion takeover and has set into motion the dismantling the Universal Service Obligation (USO) and laid the groundwork for gig economy working practices through the Optimised Delivery Model (ODM), piloted in 35 offices between February and July.”

Postal workers had pushed back against the CWU’s claim that the three-year pay award is a “no strings deal,” pointing to crippling workloads and rundown of the mail service across the network, not only at the pilot offices.

Robson said, “Even before it has been received in workers’ pay packet, six months late, Year 1 at 4.2 percent has been largely wiped out by inflation with food inflation running at 4.5 percent. Those who voted in favour did so because they had no faith in CWU leaders fighting for any improvement, but the actions of Ward and Walsh have provoked further anger against their collusion with the Kretinsky.”

“The day after the ballot Ward and Walsh claimed the company was ‘failing to consult,’ but everything implemented with the gutting of the USO and backbreaking workloads was greenlighted in their framework agreement.

“The only thing being ‘optimised’ is rampant profiteering at postal workers’ expense. Under USO ‘reform,’ £300 million in annual cuts are planned, slashing thousands of jobs and gutting the mail service. This was drawn up by the CWU bureaucracy, the Starmer government, Ofcom, and EP Group’s billionaire asset-strippers. Postal workers had no say.

“A week after the ballot Royal Mail announced a return to profit for the first time in three years, pre-tax £194 million, driven by a 6 percent rise in parcel volumes. Postal workers received a “thank you” message. The CWU’s pro-company agreement in 2023 brought in the biggest attack on Royal Mail workers’ terms and conditions in history after shareholder had pocketed £600 million. A 20 percent share of future profits promised which has never materialised. Now Ward & Co are peddling another bogus ‘profit-sharing’ scheme, this time with EP Group.”

Robson stressed that anger alone was not enough and must be turned into organised opposition: “The PWRFC has exposed the truth about the ODM pilots. They have been a dress rehearsal for a company-wide assault. Walsh attacked the committee in March for ‘interference.’ Why? Because we organised scrutiny and opposition. At targeted offices the reality was clear: gruelling spans, impossible workloads, and a failing mail service. None of this would have come to light without our committee.

“Walsh insisted there was no alternative to the ODM, saying it would be ‘mad’ not to test it in a live environment. Now the CWU admits it’s a disaster. Outdoor Assistant Secretary Tony Bouch says the CWU has submitted an alternative model. But members haven’t seen it—it’s being cooked up with management. Seven delivery workers will do the work of eight.”

Robson linked opposition to the downgrading of the mail service and gig economy work practices with the fight to overturn the two-tier workforce, brought in through the agreement of the CWU with Royal Mail in 2023 as part of the many red lines crossed to sellout the national strike. “Tens of thousands of younger workers remain trapped on inferior pay and conditions while longstanding posties have been driven out. The PWRFC insists on immediate equal pay and conditions for new entrants.”

In conclusion Robson stated, “The fight at Royal Mail is part of the Starmer government’s agenda against the entire working class. This is a pro-business government on steroids, including its £2 billion program of privatisation against the NHS.

“It has deployed military planners to organise strikebreaking operations against Birmingham refuse workers and criminalised opposition to its backing of the genocide in Gaza by arresting over a thousand peaceful protestors on trumped-up terror charges through the proscription of Palestine Action. Deepened austerity is combined with steep increases in military spending to fund an escalating war drive.

“The union bureaucracy’s ability to head off confrontation cannot go on indefinitely. There is the basis for the development of a rank-and-file opposition that must be given a perspective and strategy to fight.”

In discussion James, a worker in Scotland at one of the pilot offices, explained, “Union officials have been in our office with managers from all over the country, shaking their heads at the disaster. Parcels are still crazy busy. People are coming in early, staying late, even staff from other offices have been drafted in. No planning, no risk assessments. Health and safety completely ignored.


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