‘Our members are really angry,’ Bow, east London Communication Workers Union (CWU) E3 Unit Rep Vince Micaleff told News Line yesterday.
He was responding to Royal Mail’s announcement of almost double annual profits, as all four parts of the business went into the black for the first time in 20 years.
Royal Mail Group made an operating profit of £321m in the year to March 31, up from £162m a year ago.
This came after its main letter delivery business and its Post Office arm returned to profitability.
Micaleff said: ‘For a company that is making such a profit to offer its staff a pay freeze is totally unacceptable.
‘This is a company that says it is not paying for change when managers are on a ten per cent share of any savings that are being made. It’s disgraceful.
‘We are going to fight for our pay. We’ll do whatever it takes. Our members are very upset.
‘And we have to fight the privatisation. Their plan is to sack thousands and make the majority part-time workers.
‘What is behind all this is they are out to smash our union.’
Overall, Royal Mail Group annual revenues were up almost two per cent, to £9.6bn.
Royal Mail made an annual pre-tax profit of £49m, compared with a loss of £77m a year earlier.
Annual profits at Royal Mail’s letter delivery unit totalled £58m, compared with a loss of £3m for the year before.
The Post Office business made a profit of £41m, compared with a £34m loss a year earlier.
Welcoming Royal Mail’s doubling of profit, CWU deputy general secretary Dave Ward said: ‘We feel vindicated by today’s results for our position on full public ownership for the company. While private mail companies, including TNT, have seen huge profit reductions, Royal Mail’s operating profit has doubled.
‘We believe investment in and the pace of modernisation needs to now be stepped up.
‘It’s crucial that upgraded machinery for automated sorting is rolled out and further modernisation to products and services brought in.
‘We also expect the company to change its position on a pay freeze for staff.
‘Royal Mail is making record profits so postal workers should be rewarded for their contribution to the success of the company. A pay freeze is not defendable in this situation.’