I'm not a postie, but my brother is and this has given me a lot of insight into the problems of the job. I am currently having a 'discussion' with Alan Reid MP by email and am looking for some informed input in my response as I am in danger of going into a prolonged rant and missing salient points. I would also like everyone to have the opportunity to read what the hon member for Argyll & Bute had to say.
Sent: Saturday, 13 July 2013, 17:40
Subject: RE: Royal Mail
Dear Janet
Thank you for your email.
I searched my Inbox and Spam folder, but I’m afraid I can’t find your original email. The email address is correct, so I cannot understand why I didn’t receive it.
What is being privatised is Royal Mail – the mail delivery business. The post offices in the constituency are already private businesses.
I’m afraid this privatisation is the only way to save Royal Mail and the universal service obligation – the legal requirement to deliver mail to every address in the country at the same price and collect mail from every post box six days a week. The Government has enshrined the universal service obligation in law, so the private company must fulfil it.
The previous Government opened up the country’s postal services to competition. This meant that the private competitors cherrypicked the profitable parts of the business and left Royal Mail with the expensive job of delivering mail to rural areas. The Government has had to spend £10 billion to rescue Royal Mail. However, Royal Mail desperately needs more money to invest in new equipment. The Government does not have this money. This is what bedevilled all the nationalised industries. When it came to investing money to upgrade plant and equipment, the NHS, schools and colleges were always ahead in the queue for cash.
Privatisation is the only way to attract the money needed for investment.
Ofcom, the new postal services regulator, has a primary statutory duty to protect the universal service. It has powers to decide what, if any, regulations need to be imposed on Royal Mail’s competitors. Among these powers is the ability to introduce a levy on Royal Mail’s competitors to compensate Royal Mail for the extra costs of delivering mail to rural areas.
Royal Mail has had a very poor industrial relations record. Postal workers have often told me how awful the Royal Mail management are. One tenth of the shares will be given to to Royal Mail staff. This is the largest employee share scheme of any privatisation in Britain. Workers having a stake in their business is important because it encourages employees and makes for better industrial relations.
The only alternative to this privatisation was to take money out of other Government services like the NHS and education to find the money that Royal Mail needs for investment.
Thank you for letting me know your views and giving me the opportunity to respond. If there is anything further you wish to raise with me, please get back in touch.
Yours sincerely
Alan Reid
Alan Reid MP
95 Alexandra Parade, Dunoon, Argyll PA23 8AL
Tel 01369 704840
Fax 01369 701212
All input appreciated
Janet