oyal Mail has warned that deliberate strikes by greater than 100,000 employees will make the corporate “materially loss-making” within the present monetary yr.
Members of the Communication Staff Union (CWU) are set to stroll out on August 26 and 31 and on September 8 and 9 in a dispute over pay.
In a press release to the inventory market on Wednesday, Royal Mail mentioned the choice to strike is an “abdication of accountability” for the long-term job safety of CWU members.
“In additional than three months of talks, CWU has failed to interact meaningfully on the enterprise adjustments required,” it mentioned.
“The detrimental business impression of any strike motion will solely make pay rises much less inexpensive and will put jobs in danger.
“The CWU has a accountability to recognise the fact of the state of affairs Royal Mail faces as a enterprise, and to interact urgently on the adjustments required.
“Royal Mail stays prepared to speak with the CWU to try to avert damaging industrial motion and forestall important inconvenience for purchasers. However any talks should be about each change and pay.
“Royal Mail has contingency plans in place and can be working arduous to minimise disruption and restore regular service as quickly as attainable.”
Royal Mail mentioned that, following the conclusion of negotiations with the CWU, it has given an unconditional 2% pay enhance, backdated to April 1 2022.
An extra 3.5% enhance is obtainable, topic to agreeing on a sequence of adjustments, the corporate mentioned.
“The CWU rejected this supply, price as much as 5.5%, which might add round £230 million to Royal Mail annual folks prices at a time when the enterprise is already loss-making.
“Within the Q1 buying and selling replace revealed on 20 July, Royal Mail introduced it was shedding £1 million a day and the proposed pay deal provides greater than £0.5 million a day to that determine. This will solely be paid for with significant enterprise change.”
The assertion added: “If the introduced strike motion takes place, it’s anticipated that Royal Mail within the UK can be materially loss-making in FY2022-23.”
The CWU mentioned the two% rise had been imposed with out settlement and the additional cash on supply is predicated on adjustments to phrases and situations or assembly targets.
The union added that the pay enhance was properly under the hovering charge of inflation.