Royal Mail and privatisation - does TUPE stand apply

[goinpostal]

If Royal Mail is privatised, do our conditions get gauranteed in the new company by the TUPE legislation? Royal Mail is a kind of publicly owned corporation isn't it, and TUPE may not apply? Maybe Big Daz knows.

Of coures our union is totally against Royal Mail privatisation but that means we should fight it instead of letting them pile up loads of cash for the future greedy bosses by closing offices, flogging off real estate, and now this mega stamp rise.

I think part of convincing posties of that is ensuring they know exactly what could happen once its privatised - the Busines Transformation agreement runs out next year for a reason, RM and the government want a free hand then to slash and burn through our pay and conditions.

[fishtank]

It depends how we're sold.
If we are sold to an specific entity like TNT....probably.
If we are floated on the stock market by way of an IPO....almost certainly not.
TUPE specifically does not apply to the sale of shares because TUPE requires the transfer of an undertaking 'from one person to another'. In other words, it requires the legal identity of the employer to change. On a purchase of a company by way of share sale acquisition, the legal identity of the company actually remains the same; it is just that the ownership of its share capital changes hands.

TUPE is a minefield and to be honest...not worth a great deal in the long run anyway.
TUPE will apply to PO staff transferring over once they are cut free from RM though.

[goinpostal]

Thanks Fishtank, I agree that TuPE will do little to protect us in the medium, even short term if privatised, its just I suspect it will be one of the arguments our great leaders will use to justify no strike against privatisation.

I've heard that the way Royal Mail was structured as a public company (Royal Mail plc holding company owns Royal Mail Ltd, whatever that means!) that TUPE wouldn't apply to us even if privatised. Was wondering if anyone knew whether that's true.

[k979aaa]

The CONDEM'S are proposing to remove TUPE i cannot see anyone buying RM if it does not go through!.

[coolasluck]

http://www.acas.org.uk/index.aspx?articleid=1655" onclick="window.open(this.href);return false;


This may answer some of your questions.