Czech billionaire set to clinch deal to buy Royal Mail

[postslippete]

https://www.bbc.co.uk/news/articles/cy9j3revppqo

The sale of Royal Mail to Czech billionaire Daniel Kretinsky's EP Group is close to being finalised and could be confirmed in the next two weeks, according to sources close to the deal. Kretinsky has agreed to make extra concessions in order to clinch the takeover, the BBC understands.
Unions have been meeting with Kretinsky’s advisors this week, and while some sources say they remain "wary" of him, the Communication Workers Union (CWU) said meetings with the EP Group have been "constructive". The deal will still have to be approved under the National Security and Insurance Act although officials stepped in with a similar review when he increased his stake in the company. Mr Kretinsky's EP Group declined to comment. The entrepreneur has already offered the following guarantees in a bid to secure the deal:

- Maintaining the "one price goes anywhere" universal service and not to raid the pension surplus
- Keeping the brand name and Royal Mail's headquarters and tax residency in the UK for the next five years
- Respecting union demands for no compulsory redundancies to take place (until 2025)
- Negotiating with the CWU to extend that commitment on jobs

The board of Royal Mail owner, International Distribution Services (IDS), has recommended the £3.6bn offer price to its shareholders and it is expected sufficient numbers of them will accept, allowing the deal to go ahead. It is thought additional safeguards may include extending the duration of the guarantees he has offered. The BBC understands they have been sufficient to satisfy the UK government that Daniel Kretinsky is a suitable owner for this historic and important organisation. Speaking in front of MPs on Tuesday, Business Secretary Jonathan Reynolds referred to him as a "legitimate business figure" whose alleged links to Russia had already been reviewed and dismissed when he became the biggest shareholder in the company.
A spokesperson for the CWU said its meetings so far with the EP Group have been "honest and constructive and are set to continue in the coming days."


Royal Mail, which was split from the Post Office and privatized a decade ago, is legally obliged to deliver a one-price-goes-anywhere "universal service", which means it has to deliver letters six days per week, Monday to Saturday, and parcels Monday to Friday. But the company's performance in recent years has deteriorated, leading to heavy financial losses. Customers have also complained about deliveries, with important medical appointments and legal documents not delivered on time. The volume of letters being posted in the UK has plummeted too, with half the number being sent compared to 2011 levels.

Meanwhile, parcel deliveries have become more popular - and more profitable. Parent company IDS made a small profit last year which was entirely generated by its German and Canadian logistics and parcels business, off-setting losses at Royal Mail. The universal service obligation is currently under review, with Royal Mail suggesting to the regulator Ofcom that reducing second-class deliveries to every other weekday would save up to £300m a year and give the business "a fighting chance". In an interview with the BBC earlier this year, Kretinsky said as "as long as I am alive" he would honour the universal service obligation – but was in favour of the Royal Mail’s suggested reforms.
The Department for Business has also been contacted for comment.

[richietns]

No redundancy until 2025

[Valentina@1]

No redundancy until 2025

So 5 weeks then

[Valentina@1]

Martin Walsh be coming out with…”they wanted redundancy’s straight away,but we got them to wait 5 weeks”

CWU finished

[iHateD2Ds]

“No Redundancies until 2025 “!
All legacy contracts are done!

[norris9]

Based on the CWU Youtube Live the other day - it didn't sound like they'd be that many redundancies, a few thousand maybe and they'd be voluntary.

People get overly worried about redundancies - not sure why.

During the strikes there were redundancies, but they were voluntary. Voluntary redundancies are great, people who are near retirement, people who hate the job - they can leave with a pay off.

££££ ££££ ££££ ££££


What I'd like to see them do is before redundancies happen they should give the opportunity for posties to reduce their hours. I am sure they'd get a good amount of posties coming forward who would voluntarily reduce their hours. I'd happily reduce my hours by 40% and work a 3 day week.

[NWpostie]

“No Redundancies until 2025 “!
All legacy contracts are done!

I'm not giving up my contract, 9 months pay is nothing compared to the previous 2 year payout we used to get.

[tramssirhc]

Dave Ward has told Members and will be telling the up coming national meeting of bag avoiders that there is a simply choice - fit in or f**k off. Members may wish to return the favour by applying this criteria to their continued membership of the CWU. Ward and all the bag avoiders are working class traitors.

[tramssirhc]

If this is an independent site get this post back in the news section. Don't be hiding Dave Ward's dirty secrets in the shares section.

[TrueBlueTerrier]

If this is an independent site get this post back in the news section. Don't be hiding Dave Ward's dirty secrets in the shares section.

Since it is independent and the majority of Royal Mail's sales stories are found on this forum, we will keep it here.

I also ask that you leave the decision-making regarding which stories are posted to the site admins. The site hosts a diverse range of posters and posties, and while I may disagree with their political views, as long as they follow the rules, everyone should be able to post whatever stories they want, provided a link is included.

As for the Daily Mail, I have strongly disliked them for many years. However, we can't effectively oppose their disinformation and political stance if we create an echo chamber where differing views are not allowed.

[tramssirhc]

If this is an independent site get this post back in the news section. Don't be hiding Dave Ward's dirty secrets in the shares section.

Since it is independent and the majority of Royal Mail's sales stories are found on this forum, we will keep it here.

I also ask that you leave the decision-making regarding which stories are posted to the site admins. The site hosts a diverse range of posters and posties, and while I may disagree with their political views, as long as they follow the rules, everyone should be able to post whatever stories they want, provided a link is included.

As for the Daily Mail, I have strongly disliked them for many years. However, we can't effectively oppose their disinformation and political stance if we create an echo chamber where differing views are not allowed.

You keep hiding the CWU's dirty little deals and I'll keep questioning the decisions. As you say we don't want echo chambers do we?

[TrueBlueTerrier]

If this is an independent site get this post back in the news section. Don't be hiding Dave Ward's dirty secrets in the shares section.

Since it is independent and the majority of Royal Mail's sales stories are found on this forum, we will keep it here.

I also ask that you leave the decision-making regarding which stories are posted to the site admins. The site hosts a diverse range of posters and posties, and while I may disagree with their political views, as long as they follow the rules, everyone should be able to post whatever stories they want, provided a link is included.

As for the Daily Mail, I have strongly disliked them for many years. However, we can't effectively oppose their disinformation and political stance if we create an echo chamber where differing views are not allowed.

You keep hiding the CWU's dirty little deals and I'll keep questioning the decisions. As you say we don't want echo chambers do we?

Hiding in plain sight in the correct forum.

We even cover it in the rules you agreed to when you joined this forum

You agree that royalmailchat has the right to remove, edit, move or close any topic at any time and without warning, should we see fit.

and include it in the description of the forum

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