The Royal Mail strike dispute explained and if the company could go into administration

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✉️ Talks to resolve the dispute between Royal Mail bosses and workers are reportedly close to collapse connie_dimsdale reports

and listen to workers’ demands on pay and conditions, the union warned.

This is a “hugely significant moment” where the “stakes have never been higher”, union leaders said in an update to CWU members.The Royal Mail board would have to seek approval from the Government before putting the company into administration. If the action were taken, it would mean that Royal Mail, including Parcelforce, could be declared insolvent.

In this case, the less profitable letter side of the delivery business could be split from the parcel side.has previously reported how Royal Mail has been struggling to deliver letters with the business in its current state,The company has previously denied prioritising letters over parcels, but staff say their managers have told them to leave letters in sorting frames, or bring them back at the end of the day if they do not have time to complete the delivery.

which requires Royal Mail to deliver letters to every address in the UK six days a week, is not always being met. The company is also obliged to deliver parcels five days a week under the regulations.Postal workers are looking to gain a pay rise which is in line with current inflation rates, but the walkouts are also over jobs and conditions. Royal Mail has said it needs to cut as many as 10,000 jobs by August.

The company is looking to transition more towards parcel delivery and away from delivering letters, which have dwindled in popularity. It previously made a request to the Government to stop delivering letters on Saturdays, which was denied.

 

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