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GBP1.7 billion warchest to destroy union - Williams & Thompson

Pay talks 2022 discussion, news, LTB's RMCtv and all BUSINESS RECOVERY, TRANSFORMATION AND GROWTH AGREEMENT chat
posted
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Re: GBP1.7 billion warchest to destroy union - Williams & Thompson

Post by posted »

theotherone wrote:
15 Dec 2022, 20:36
posted wrote:
15 Dec 2022, 20:30
Mungeys wrote:
15 Dec 2022, 18:11
Unbelievable

https://www.telegraph.co.uk/business/20 ... ss-picket/

Royal Mail vows to ignore striking workers as thousands cross picket line
Company leaders say they have built up £1.7bn war chest to defeat union

By
Oliver Gill,
CHIEF BUSINESS CORRESPONDENT
15 December 2022 • 4:51pm

The leaders of Royal Mail have vowed to ignore striking workers as thousands cross the picket lines and support for industrial action crumbles.

Chairman Keith Williams and chief executive Simon Thompson said that they intend to ram through reforms to the business with or without the backing of the Communication Workers Union (CWU), ahead of another round of walkouts in the days before Christmas.

In an interview with The Telegraph, they said that 12,000 postal workers are prepared to cross the picket lines each day - a sixfold increase since autumn - and that the company has built up a £1.7bn war chest to defeat the CWU.

The interview came just hours after CWU general secretary Dave Ward upped the ante on Wednesday evening, describing the Government as a “shower of corrupt b******* in Westminster" as he voiced support for striking nurses.

Royal Mail is pushing through automation that it says is essential for the future of the business, but which the CWU claims will lead to waves of unnecessary job cuts. Workers have been offered a 9pc pay rise which the CWU has so far rejected.

Mr Williams said: “It's an important point which people miss, which is: we have the ability to change.

“The change is going to happen anyway. We'd like to secure the change that we need from the people, which is pretty limited, to give them the 9pc pay rise that's on offer.

“[But] change can happen as a result of the cancellation of the agreements [earlier this year], and will happen regardless of whether there's an agreement with the union or not.”

A wave of strikes has forced Royal Mail to warn that customers should post all their Christmas cards and presents by Friday this week or risk them not arriving in time. Workers walked out on Wednesday and Thursday this week, and will be striking again on Dec 23 and Christmas Eve.

Strike calendar – Winter of discontent
Proposed reforms include Royal Mail’s parcel arm switching to hundreds of freelance “owner-driver” postal workers. Until recently, only a quarter of Parcelforce drivers could be self-employed, but the changes will mean this can be lifted to 100pc, for instance.

Royal Mail expects to rack up losses between £350m and £450m this year.

Mr Williams, a veteran of disputes during his time as British Airways chief executive, said: “Most of that loss is not attributable to strikes. it's actually attributable to the change that you need in the business.

“As you change the business, you're actually improving the business. Yeah, they can be out on strikes, but the strikes are not are not the big element of the loss.”

Mr Thompson said that Royal Mail was determined to ensure that Christmas parcels would be delivered on time, with 2,000 administrative staff dispatched to the front line to help.

Mr Williams said: “We've now got all the accountants and lawyers on the front line delivering post.”

In autumn around 2,000 postal workers were prepared to cross the picket line, a figure that has now swelled to 12,000 members of staff.

Tempers have flared with the police called in earlier this month amid claims of physical violence and vandalism. One CWU representative is facing accusations of headbutting.

Mr Williams said: “The irony of this one is that because it's Christmas, the parcels market holds up nicely.”

But the strikes did impact on the letters business, he added. A quarter of Royal Mail’s letter volumes are typically delivered in December. “They [the CWU] are actually destroying Christmas cards, which are letters, which is what they're trying to preserve.”

The CWU will ballot its 115,000 members at Royal Mail for another six-month mandate to strike in January.

Mr Williams said: “What they're saying is that we're threatening 25,000 compulsory redundancies. It is nothing more than a scaremongering tactic going into the next ballot.”

Meanwhile he sprang to the defence of Mr Thompson, who Mr Ward has attacked for being “out of his depth” as CWU members held placards saying “Thompson out”.

He said: “If you look at the history of this one, it was [ex-CEO, Adam] Crozier out. Moya [Greene] out. Rico [Back] out. And now it’s Simon [Thompson] out. There’s a fact pattern here of playing the man not the ball.”

Mr Thompson added: “I am representing the voice of the customers. So is it ‘customers out’ when they say ‘Thompson out’?

“I don't think it is nice. And I don't think it's necessary. But I think more fundamentally, it diverts us away from what are the real true issues.”
the article mentions £1.7bn but doesn't quote them. Would like to see this 'interview'
Granted no direct quote but the 1.7bill figure has to come from somewhere.
it would but would they really be that daft to say it like that or has editor/interviewer put some select words together. Makes a great headline and might boost share price.
I've no doubt they want to sideline union. I'm just sceptical where this £1.7bn has come from as it's a lot of money and we certainly don't have that in cash.
CamPostie
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Re: GBP1.7 billion warchest to destroy union - Williams & Thompson

Post by CamPostie »

[/quote]
the article mentions £1.7bn but doesn't quote them. Would like to see this 'interview'
[/quote]

It was on his whiteboard.

I get the feeling this interview will backfire massively.
TopperGas
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Re: GBP1.7 billion warchest to destroy union - Williams & Thompson

Post by TopperGas »

Just realised the headline also says "destroy union" whereas the article just refers to defeating the CWU, the headline doesn't really seem to go with anything KW is quoted as saying.
nikrad
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Re: GBP1.7 billion warchest to destroy union - Williams & Thompson

Post by nikrad »

Every time I begin to buckle they wheel out some bullshit like this. Honestly I will strike as long as it take Thompson do your best but I’m not breaking!
P13
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Re: GBP1.7 billion warchest to destroy union - Williams & Thompson

Post by P13 »

Binsey wrote:
15 Dec 2022, 20:08
mattick wrote:
15 Dec 2022, 20:00
Even if RM propaganda is to be believed that 12,000 OPG’s have crossed the picket lines. That’s still 90%+ of union members still holding out. The company not doing a very good of destroying the union.
Yeah some discontented and disillusioned members will leave the union next year. Reality is most will rejoin the fold in time. 6 months into 2023, when Xmas is on the horizon again, RM won’t have the heart to fight again.
The Unions huge problem on the horizon is when RM stop taking the Union subs from your wages.

Are all 115k going to set up Individual DD?????
Royal mail have been threatening to do that for years , the union pays Royal Mail for it .
It's time the union started taking subs by direct debit
blacov
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Re: GBP1.7 billion warchest to destroy union - Williams & Thompson

Post by blacov »

I am not sure where did they get that figure but surely this isn't even remotely close to the truth. If they have accumulated funds to the tune of £1.7bn then they need to be thoroughly audited as I believe there may be cooking books and potentially they have done something illegal.

On another hand let's assume they have the funds and are seen blaming union for destroying christmas and while large proportion of members of public believe this is about the pay rise, it doesn't exactly help Royal Mails publicity when they learn about this article and see the figure of 1.7bn not to improve service but to turn it s**t and destroy the union so they can have their dream gig economy business model. This article is just standing out like a sore thumb next to the pictures of massive backlogs and pleading poverty.

I can't believe they are getting away with undermining USO, where is OFCOM?? I have learnt from a local community discussion board how severe are the delays of post, some people claim they haven't received any post since 2weeks.

When does the lying stop?
dazzler123
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Re: GBP1.7 billion warchest to destroy union - Williams & Thompson

Post by dazzler123 »

they need to be publicly roasted on that statement. How can you claim losing 1m a day and cry poverty to your workforce, then come out with that?
postieblueshirt
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Re: GBP1.7 billion warchest to destroy union - Williams & Thompson

Post by postieblueshirt »

I don't believe they have 1.7 billion.Id like proof transfer it into my savings account for a week I want proof..and the interest..
Zicomurphy
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Re: GBP1.7 billion warchest to destroy union - Williams & Thompson

Post by Zicomurphy »

Just posted this on another thread. Honestly think this is a complete non story.


https://www.logisticsmanager.com/royal- ... rcel-hubs/

A quick google found the above article from 2019 about a £1.8 billion investment by Royal Mail which includes the cost of the 3 superhubs. The hubs are obviously central to their plans to introduce owner drivers delivering larger parcels and some right wing idiot journalist at The Telegraph has spun this to be a “war chest” to defeat the union.
rambo1
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Re: £1.7 billion warchest to destroy union - Williams & Thompson

Post by rambo1 »

norris9 wrote:
15 Dec 2022, 18:28
FirstPost wrote:
15 Dec 2022, 18:26
norris9 wrote:
15 Dec 2022, 18:17
Well they can afford a 10% pay rise back dated....

Cheers Thompson.
Now now norris, you were happy with a 5% and no back pay, remember?
na bro, they got billions. We deserve 20% and back pay to 1984.
Funny :Very Happy
rambo1
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Re: GBP1.7 billion warchest to destroy union - Williams & Thompson

Post by rambo1 »

How many times are the press going to say we rejected a 9% rise to make us look like the bad guys :arrrghhh
rambo1
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Re: £1.7 billion warchest to destroy union - Williams & Thompson

Post by rambo1 »

Schiff wrote:
15 Dec 2022, 18:49
Putin went to war with Ukraine thinking that the Russians' superior weaponry and troop numbers meant that a swift victory was inevitable. The Ukrainians could have simply bowed to the inevitable and waved the white flag. Instead they decided that if they were going down then they would go down fighting. To date they have given Putin a hell of a kicking and can hold their heads high.

Are we going to be scared off by Thompson's war chest?

No f***ing way pal!
Get what you're trying so say with your comparison but can't really compare a war with an industrial dispute. That and we don't know yet how the Ukrainian war will turn out.
walthmstowman
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Re: GBP1.7 billion warchest to destroy union - Williams & Thompson

Post by walthmstowman »

Was it really Moya Greene out !!. I can't seem to remember that one .or Adam Crozier for that matter although he was a rubbish CEO . However Rico Back and Simon Thompson have been on a whole different level . Anyway what's the point of a £1.7 billion warchest if you end up destroying the company .
britwrit
MAIL CENTRES/PROCESSING
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Re: GBP1.7 billion warchest to destroy union - Williams & Thompson

Post by britwrit »

The £1.7 billion is probably the group's "available liquidity" mentioned in its midyear results, back in September:
Further, the Group has available liquidity of around £1.7 billion, including £768 million of cash and cash
equivalents (excluding £36 million GLS client cash and £21 million RMSEPP pension escrow) along with undrawn
bank syndicate loan facility of £925 million.
This is on page 5 - https://www.internationaldistributionss ... cement.pdf
goneaway
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Re: GBP1.7 billion warchest to destroy union - Williams & Thompson

Post by goneaway »

Mungeys wrote:
15 Dec 2022, 18:11

https://www.telegraph.co.uk/business/20 ... ss-picket/

Mr Thompson said that Royal Mail was determined to ensure that Christmas parcels would be delivered on time, with 2,000 administrative staff dispatched to the front line to help.

Mr Thompson is deluded. How does he expect putting 2,000 admin staff, most of whom are probably physically unfit, working out of cars, and all inexperienced in a delivery role, supposed to match tens of thousands of experienced delivery posties.