Update on Pay, Section 5 and the USO and what to expect at the National Briefing on Wednesday 21st & Thursday 22nd May 2025

Update on Pay, Section 5 and the USO and what to expect at the National Briefing on Wednesday 21^st & Thursday 22^nd May 2025

Over the last three weeks Royal Mail and the CWU have been in intensive and complex negotiations covering commitments contained within the agreement with EP Group.

These cover:

1.A long term pay deal.

2.The pathway to equalisation of new entrants’ pay, terms and conditions including a first step within three months of the takeover.

3.Reducing reliance on agency which will create more jobs and opportunities for part timers to increase their hours.

4.Reviewing overtime and scheduled attendance rates.

5.Introducing a performance incentive scheme which is payable based on local targets.

6.Improvements in sick pay.

7.Introducing new ways of working which includes a new more supportive approach to My Performance.

We have made progress on a number of these issues over the last three weeks. These negotiations are challenging when set against the financial position of the company, but we are determined to reach an agreement that resets Royal Mail and gives it a platform to grow, as well as ending the chaos culture in units across the UK.

Over the last three weeks the CWU negotiators have rejected three separate pay offers, all of which were above inflation.

We also have a plan in place for new entrants to reduce the working week and introduce paid meal reliefs. Further discussions are taking place on other parts of the equalisation pathway.

Alongside reaching agreement on all of the above, we are in negotiations on the future of the Universal Service Obligation – something that is crucial to both the future of the company and long-term job security.

Royal Mail have expressed their desire to reach an agreement, and we will continue with negotiations next week. Our aim is to reach an overall agreement by the time the transaction completes on 30^th May 2025. We are meeting Royal Mail again in Manchester on Tuesday 20^th May.

We fully recognise the urgency of delivering an agreement – in terms of bringing stability to workplaces, but we also know our members need and deserve a pay rise. We must balance this against reaching the right agreement for you. We will provide further updates and host engagement sessions with members in the coming weeks.

National Briefing 21^st and 22^nd May 2025

At the National Briefing it is our intention to fully update you on all aspects of the current negotiations.

The National Briefing on Wednesday 21^stMay will commence at 10am and will be held in the Mercure Manchester Piccadilly Hotel (International Suite). Address below.

Mercure Manchester Piccadilly Hotel

Portland Street
Manchester
M1 4PH

The agenda for the 2 days is below:

1. Dave Ward (CWU General Secretary) EP – Agreement/Update.
2. Martin Walsh (CWU Deputy General Secretary – Postal) – Opening Remarks.
3. Royal Mail Presentation – Alistair Cochrane (Chief Operating Officer)

Jamie Stephenson (Operations Transformation Director)

4. The reset in both Industrial and Employee Relations
   a. HR Summit
   b.Transforming Industrial Relations
   c. Reset of Employee Relations
   d. New IR Framework
   e. Working Together
   f. Next Steps
5. Pay – Long Term Pay Deal
6. New Career Path
7.  New Entrants
8.  Pay Simplification
9.  Reducing Reliance on Agency
10.  New Performance Incentive Scheme
11.  New Ways of Working/My Performance
12.  Review of Scheduled Attendance and Overtime Rates
13.  Sick Pay Arrangements
14. New agreed Voluntary Redundancy Terms
15.  Developing a Growth Strategy
16.  USO and the link to the agreement
17.  Next Steps
18.  Pension Information
19.  Membership Recruitment Strategy

Any enquiries in relation to the content of this LTB should be addressed to the DGSP Department.

Yours sincerely,

Martin Walsh

Deputy General Secretary (Postal)

Mick Kavanagh

Postal Executive Chair

LTB 98/25 – Update on Pay, Section 5 and the USO and what to expect at the National Briefing on Wednesday 21st and Thursday 22nd May 2025

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