Photo credits @ Lionel Allorge, CC BY-SA 3.0, via Wikimedia Commons

Last Mile Brief 24/04/2023: CWU outlines details of Royal Mail labour agreement

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Last week, it was announced that the CWU Union had reached an agreement to end its labour dispute with the Royal Mail. The headline making part of the deal was a 10% pay rise, however the CWU has now summarised a number of other specifics it has negotiated. 

In a document celebrating the deal, the CWU outlined the following points it had negotiated:

  • 10% on base pay over 3 years plus a £500 lump sum is well in excess of the employer’s original position.
  • Every single allowance remains – something the CWU claims is a complete reversal of the Royal Mail’s position.
  • The first 20% of future profit delivered in a lump sum payment to frontline workers.
  • Network Changes pushed back until March 2024 – No changes in localities during 2023 unless these are due to specific circumstances
    and subject to the Industrial Relations Framework.
  • Later starts restricted to up to a maximum of 60 minutes (Royal Mail reserve the right to seek 90 minute later starts in minimal cases if the developed concept cannot be fully deployed)
  • A Last letter time of up to 16.30 with the majority deliveries across the UK planned to complete by 15.30 with the vast majority by
    16.00.

The CWU added that it had also secured the following:

  • A phased approach to flight removals.
  • A site closure agreement with enhanced terms for affected Air Hubs.
  • A phased program for change in the upstream areas to accommodate the network changes.
  • A commitment to no Mail Centre Rationalisation proposals for the life of the agreement

Commenting on the agreement last week, the Royal Mail said:

“Royal Mail is currently materially loss making. This agreement is an important step forward in the turnaround of Royal Mail and, if approved by the CWU membership, represents a good outcome for customers, employees and shareholders. The agreement provides a platform for the next phase of stabilising the business whilst continuing to drive efficiency and change. The operational changes in the agreement are designed to improve competitiveness, particularly in next day parcels, reduce cost and environmental impact, and improve quality of service for our customers. A three year pay deal will provide certainty for our employees and ensure Royal Mail remains the industry leader on pay, terms and conditions.”

Further details regarding the deal can be found on the Royal Mail website.


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Featured image: Lionel Allorge, CC BY-SA 3.0, via Wikimedia Commons

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