LTB 236/16 - Post Office: Crown Office Network - Franchising Update - WHSmith Announcement

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LTB 236/16 - Post Office: Crown Office Network - Franchising Update - WHSmith Announcement

No. 236/2016

14th April 2016



POST OFFICE: CROWN OFFICE NETWORK – FRANCHISING UPDATE –

WHSMITH ANNOUNCEMENT



Dear Colleagues

Further to LTB 030/16 dated 19th January, I would like to provide Branches and members with information in regard to a concerning development relating to the Post Office’s Crown Office franchising plans.

Yesterday the Post Office announced a “new ten year agreement” with WHSmith, which involves up to 61 Crown Offices relocating into WHSmith stores over the next 12 months. These 61 Crowns will consist of a combination of franchised offices and “hosted” offices (referred to in the attached Post Office press release as “concessions”). The details with regards to which Crowns will be affected have yet to be published by the Post Office; however, the plans are broadly as follows:

Franchised Crowns: Of the original 39 Crowns listed in LTB 030/16, “some” (we believe the majority) will be franchised to WHSmith, impacting on a significant number of members’ jobs.


“Hosted” Crowns (“concessions”): “just over half” of the total of 61Crowns will be relocated into WHSmith as “hosted” branches. This means the Crown will remain under the direct management of the Post Office and members will retain full employment with the Post Office. There is currently an example of a Crown Office being managed in this way in a WHSmith branch in Bracknell, Berkshire.
This will be extremely worrying news for many members in the 39 Crown Offices earmarked for franchising. It will also cause considerable uncertainty for those working elsewhere in the Crown Network, as the details for those Crowns relocating to WHSmith as “hosted” Crowns have not yet been confirmed.

It is inconceivable that WHSmith can run a major Crown Post Office better than the Post Office itself. Obviously our preference is for Crown members to retain their employment with the Post Office via relocation to a “hosted” Crown, rather than losing their Post Office employment through franchising (although TUPE applies to all franchising). Our main concern with the “hosted” Crowns is the potential for the branch to fully transfer to WHSmith ownership further down the line. This could easily be perceived as a first step to formal transfer.

We gained good press coverage yesterday regarding our opposition to the Post Office/WHSmith link up including a Radio 5 interview and a good article in the Guardian.

http://www.theguardian.com/business/201 ... o-wh-smith" onclick="window.open(this.href);return false;

Our response to the Post Office’s announcement can be accessed by using the following link:

http://www.cwu.org/media/press-releases ... -wh-smith/" onclick="window.open(this.href);return false;

Unite also issued a press release (attached for information).

Statement from the National Federation of SubPostmasters (NFSP)

The NFSP published its support for the Post Office’s announcement (attached for information) which astonishingly contained the following statements from its General Secretary, George Thomson:

[This is] “a necessary step towards addressing the cost challenges that have to be faced and dealt with.”

“The NFSP supports Post Office efforts to improve efficiency and reduce costs but more can be done”.

The insensitive comments contained within George Thomson’s letter take very little account of the anxiety and uncertainty our members are experiencing as a consequence of this commercial agreement struck between the Post Office and WHSmith. Indeed Mr Thomson appears to indicate that he believes the Crown Network should be extinguished completely. We will be responding to Mr Thomson’s ill informed communication in due course.

Campaigning Against Franchising Continues

Many public meetings are taking place around the country in areas which have a Crown Office earmarked for franchising. Good community campaigns are up and running in Aberystwyth, Crouch End, Durham, Muswell Hill and Walworth Road where public meetings have already been held. MPs and local politicians, together with community groups are supporting these campaigns to protect Crown Office services. Additionally, Bury St Edmunds and Lancaster Crowns have public meetings arranged in the near future. There are also plans for leafleting and the signing of petitions outside Beckenham, Sydenham and Waterlooville Crowns in the coming days.

It is not too late to make a difference and Branches are urged to liaise with the relevant Territorial and Area Representatives to arrange campaign meetings in the affected towns/cities at the earliest opportunity. LTB 030/16 which contains the list of the 39 Crowns the Post Office plans to franchise is attached for your information in this regard. Thanks go to Branch Secretaries, Regional Secretaries, IR Representatives and Postal Executive members who have assisted in arranging and speaking at the public events which have taken place thus far.

Further developments will be reported as appropriate.

Yours sincerely

Andy Furey

Assistant Secretary