‘THIS IS a match-fix for privatisation,’ the leader of the Communications Workers Union (CWU) said yesterday, after the Tory-Lib Dem coalition announced it was rushing through legislation to privatise Royal Mail.
‘We’re not going to sit back and see something that’s been in the public’s hands for 360 years privatised. The British public don’t want the company privatised,’ said CWU general secretary Bill Hayes, referring to the latest opinion polls which show that 85 per cent of people are opposed to any sell-off.
The Liberal Democrat Business Secretary Vince Cable announced that the government would introduce legislation in the autumn, after receiving updated recommendations for ‘urgent action’ from businessman Richard Hooper, author of the 2008 Hooper Report.
Despite a 26 per cent increase in Royal Mail profits to £404 million this year, Hooper recommends deregulation and a private sector takeover of the service, with the government taking over the Royal Mail’s pension deficit of around £8 billion.
Hayes said: ‘It was the government that created the problem in terms of the pension deficit when for 13 years it never invested in it – it had a pensions holiday.’
He added: ‘Richard Hooper has been trying to put forward the argument that they need to privatise the company.
‘But even his latest report recognises there’s been a lot of change since his last report.’
The CWU warned that privatisation would spell disaster for Britain’s postal service and lead to even higher postal charges.
Hayes commented: ‘Last year we were told that TNT were going to be the company that would help transform the industry.
‘Let’s look at what happened in Holland when TNT took over the postal service.
‘They’re now advocating three-day-a-week deliveries as opposed to five.
‘There’ve been big cuts in services.’
But Business Secretary Cable was unmoved. ‘We will come forward with new legislation in the autumn,’ said Cable.
The CWU’s Hayes added: ‘Privatisation will also mean separation of Royal Mail and the post office network, putting the very existence of many more post offices that play such a key role in Britain’s communities at risk.
‘Closures, cuts and profit will rule while customers, small businesses, communities and taxpayers lose out.
Dave Ward, CWU deputy general secretary (postal side), said: ‘Everyone’s a loser if you privatise the Royal Mail.
‘Jobs and services will suffer and customers will see prices soar.’
Unite, the union representing Royal Mail managers, also condemned the privatisation plans.
Paul Reuter, Unite’s national officer, said: ‘Managers at Royal Mail are opposed to privatisation.
‘They are not prepared to see the postal service that they are very proud of disintegrate into a free-for-all for the private sector, which will cherry pick its way to profit.’
