Wednesday, February 25, 2009

Do You Want Your Labour Stab In The Back 1st Or 2nd Class ?

Since coming to power, this Labour Government has pursued a steady and consistent policy of destroying the Royal Mail. Our postal service was once an enviable institution, now it looks like we may lose it to privatisation.

Many of the most profitable parts of the RM's business have been stripped away from it over the past decade, all those things you used to pop into the Post Office for can now be done on line, and then private companies were allowed to compete against the RM on a very uneven basis. The private companies cherry picked the most profitable parts of the Royal Mail's operation, such as private contracting for companies like Amazon, and the RM has been left with all the least profitable types of post still to deliver.

After forcing the Royal Mail into this position, the shameless Nu-Labour Minister Lord Mandelson said "the taxpayer could not be expected to fund potential liabilities in the region of £8bn without seeing an improvement in the performance of the company". The man's audacity is breathtaking, the situation that the Royal Mail finds itself in is almost entirely the fault of the Government.

Now Nu-Labour says there is a "pensions black hole" forming, this is an absolute disgrace, what has happened to the money that tens of thousands of workers have paid in over a lifetime of loyal service ?

I have no doubt that this 30% partial sale of the Royal Mail will go ahead, and that there will then be job losses, all this despite Nu-Labour's election manifesto promise to keep the Royal Mail in public hands.

There are countries around the world where if you live in a more remote community or dwelling, you have to drive into the nearing larger conurbation to collect your own post. If you live in a town your daily postal delivery is probably in no danger, but for those in rural communities, who have already witnessed the wholesale loss of the small village post office, you have every right to be worried about the future of the service, recent history shows quite clearly that rural communities will yet again be the first to suffer when changes are made to Royal Mail.


  1. Well said that man!

    Oh and happy new look, by the way.

  2. Paddy8:01 pm

    so everything went online because it was more convenient for the users of these services. and the unions desperately try to avoid modernisation at every turn because it might mean the post gets sorted efficiently by a machine rather than by well paid hand. The post office/royal mail has been a basket case for years. Labour is just panicing about the black hole where the next 8 billion of your money is going to sink.

    Rural communities want it both ways the same level of service as in cities and towns without the inconvenience of lots of people and a universal single cost service isn't feasible.


  3. I think the most serious question is, where is the pensions money ? How has it been allowed to dissapear, I thought the law had been changed to protect pensions after the Mirror Group scandal ?

    I just believe that the RM is one of those institutions we ought to look after, it seems part of the very fabric of British society. There always was the option to use RM/Post Office as an internet gateway for online services, which could have helped to protect smaller Post Offices.

    We can't just throw jobs on the scrapheap beacuse it's more efficient to do so, it benefits us all in the long term to have more people in employment. It always saves companies money to make redundancies, but those costs are often passed on to the taxpayer for years (or decades in the case of some industrial/mining towns) to come in the form of unemployment and associated benefits and retraining.

  4. Pensions money is likely in the form of investments and like very company RM probably said during the good times "Hey look how much our pensions portfolio is worth we can make minimal contributions this year. Hang on oh shit the stock market has collapsed and now it's worthless and we've spent the money we would have put in on bonus's. Can anyone suggest a way to get these pensioners to die early instead of living longer"

    I'm uncertain why you and others consider the post office is a special case as a small business. Is it purely because visiting the post office is an almost universal experience from childhood?

    There is always a balance between keeping a company efficient and profitable (thus in business) and providing a social aspect of employment. Recently this balance has always been skewed to the efficiencies as companies only look to the figures on the balance sheet because that's what their financiers look at. the idea of growing a company organically is out of favour so investment is one of the highest priorities at the top.
    The physical disconnect (different cities or countries) between workers and management makes it easier to make cuts when you have no personal relationship. If you've worked with someone for years in the same office/building/factory the connections made would normally make redundancies the last option rather than an auto reflex.

    Society is dead, get used to it.