THURSDAY 12th SEPTEMBER 2013

CWU Local Representatives from across the country gathered in Birmingham to discuss issues relating to the proposed privatisation of Royal Mail and the pending Official Industrial Action Ballot.

Along with CWU General Secretary Billy Hayes and CWU Deputy General Secretary (Postal) Dave Ward, Royal Mail Chief Executive Moya Greene also addressed the Forum.

The Forum began just hours after the official announcement regarding the floatation of Royal Mail and Dave Ward wasted no time in commenting on the announcement. “No Government announcement changes the fact that we will be going to an Industrial Action ballot to protect our members. All the announcement does is make it more important to stand together and return a massive yes vote in the ballot”.

Dave continued “There is still no dates or details of the sale, but be under no illusion, whoever owns the company this union will fight to protect the terms and conditions and keep them the best they can be. The CWU is bigger than any plans for privatisation. The CWU is here for the long haul. The CWU representatives like those here today have one big job – go and deliver a resounding yes vote in this ballot”.

The applause for Dave Ward’s inspiring speech was short lived as Moya Greene was then asked to address the Forum; and was greeted with jeers and a chorus of “Royal Mail, not for sale!”. The Royal Mail CEO gave a brief speech full of rhetoric and cliché similar to the material that has arrived on the doorsteps of CWU members recently. The monotonous speech was soon interrupted by laughter and more jeering as the statement “I don’t understand why we should be headed for a dispute” was made by the CEO.

Moya Greene went on to say that “We need to make good of privatisation” and also gave a hint that negotiations were not closed on what was already, in her opinion, a ‘good’ pay offer.

Questions from the floor to the Royal Mail boss included issues of bullying & harassment, the uncertainty of the privatisation, the debacle of the proposed pension changes and the future strategy of the company. On bullying & harassment, Moya Greene stated that “most cases involve member against member” which was poorly received on the floor and led to ‘time running out’ on the question and answer session and, perhaps ironically, a ‘comfort break’ was called for.

Dave Ward was quick to return to the rostrum as the second session began and defend comments made by Moya Greene. The Forum was informed that no deal would include a ‘no strike clause’ and that a better pay deal, inclusive of the benefits and minus the ‘strings’ – as demanded in the Consultative Ballot – would be reached by the union and employer. “Our members deserve better pay, living wage pay, and proper incentives including a replacement for ColleagueShare which the company stole from our members” Dave Ward claimed. “Let me also be clear that a boycott of competitors mail is also not out of the question. We could not take any action on the back of the Consultative Ballot, but we will be exploring every tactic in beating the threat to this industry and this union’s members” he added.

The momentum with Dave Ward grew and he outlined exactly what the CWU was striving for in addition to the demands of the Consultative Ballot and relied on its Reps to ensure members were aware of:

Legally binding protections
No break-up of the company; ParcelForce, Mail Centre sales etc
No outsourcing/franchising of delivery rounds
Avoidance of ‘race to the bottom’ of terms and conditions similar to TNT
No Zero-Hour contracts or 2-Tier workforce

Billy Hayes added to Dave Ward’s comments by stating that “We have fought privatisation for 21 years. Moya Greene, like Leighton and Crozier did, claims that things were terrible when she arrived and that she has improved them. We all know the improvements have been made by you (Reps) and the members”. He added that the company is profitable and not a ‘basket-case’ which is why there will be interest in buying it – from capitalist vultures not “businessmen and women who feel sorry for their postie”. Billy also committed to putting pressure on the Labour Party at its Conference with a motion that calls for renationalisation should the sale go ahead “Labour needs to start acting as an opposition, rest assured we will be taking a firm stance at Conference and we invite you to attend”,

Both Dave and Billy emphasised the importance of a YES vote in the upcoming ballot. All Reps present were challenged to ‘go and deliver’ the return and stated that this was a ‘defining moment’ in the history of Royal Mail, the industry and the union. Both were confident of winning the dispute.

It is now down to the reps and the membership to take the next step and return the YES vote needed to save the future of our terms and conditions at work.

There will be Gate Meetings and correspondence from Reps regarding the ballot. If you require any further information, please do not hesitate to contact me.

Carl Harper
Sectional Secretary
CWU Eastern 5
PMC Deliveries

The government has today (Thursday) announced that it is pressing ahead with plans to privatise Royal Mail at the very same time that 125,000 postal workers are voting on strike action.

CWU says the plans to sell are a betrayal of the British public – 70% of whom are against privatisation according to a Sunday Times poll at the weekend.

The announcement this morning said an initial public offering (IPO) is “expected to take place in the coming weeks”.

Billy Hayes, CWU general secretary, said: “This isn’t about what’s best for the Royal Mail, it’s about vested interests of government ministers’ mates in the City. Privatisation is the worst way to access to capital as it’s more expensive than borrowing under public ownership. There’s no competition with money for schools and hospitals as the government would have you believe – look at Network Rail which has borrowed billions on private markets at cheaper rates under an arrangement which doesn’t affect public debt. This is simply about dogma from old fashioned Tories wedded to privatisation.

“We remain convinced that privatisation is the wrong decision for Royal Mail. It would be bad for customers, bad for staff and bad for the industry. Privatisation would put jobs and services at risk and lead to higher prices for customers. We’ve seen it happen time and again in other industries.

“We’re taking this to Labour Party Conference and we want a commitment that a Labour government would renationalise Royal Mail if privatised. Privatisation is an old-fashioned idea and a breach of the public’s trust. It would destroy a centuries-old public service.”

Dave Ward, CWU deputy general secretary, said: “Today’s announcement gives us little new information. Everyone knew the government’s intention to float Royal Mail this financial year but we’re surprised they’ve chosen to start this process at the very time we are balloting our members for strike action. This could put investors off.

“We’re pressing ahead with our ballot 125,000 postal workers and we will continue to fight privatisation and the potential impact of a sale on jobs, terms and conditions. CWU is here for the long-haul. Any owner will have to deal with issues in the industry and take the workforce with them.
“Investors should take note of public opinion too – 70% of the public are against privatisation according to the latest poll this weekend.”

The ballot will be the first national strike ballot since 2009. Ballot papers are due to go out to 125,000 Royal Mail and Parcelforce (but not Post Office) workers on 20 September with a result to be announced on 3 October. If there was a yes vote, the union would then be able to give 7 days’ notice for strike action, with the earliest strike action possible from 10 October.

Around 1,500 reps from across Royal Mail are meeting in the ICC in Birmingham today for a CWU-called meeting.

“This Bill is about state control of free trade unions” Tony Kearns told Congress when seconding emergency motion 5 on the government’s controversial Lobbying Bill. Accusing the Government of “messing up big time”, Tony said there was “no evidence that the measures in the Bill are needed.” Yesterday, Lib Dem MPs refused to vote for any amendments to the Bill, prompting Tony to challenge: “Nick Clegg needs to get a dictionary and look up what the words ‘Liberal’ and ‘Democrat’ mean. This Bill is about gagging democratic debate and saying that politics is not for ordinary people. It’s about trying to get the trade union movement to shut up. But we won’t be shut up.”

In moving the motion, James Anderson from Unison said: “These rotten Tories – yellow and blue – have turned a scandal about their rich lobbying mates into an attack on democracy.” He pointed out how the Bill had brought together “the widest coalition imaginable, from the Countryside Alliance to Greenpeace” against the Bill. “Such an illiberal attack is being supported by the Lib Dems. We need to not water down this Bill but defeat it.”

Congress unanimously passed the motion.

Today (Wednesday) is the final day of TUC 2013.

Ongoing growth in unaddressed mail volumes will allow Royal Mail to capture more of this expanding market and protect jobs, CWU outdoor secretary Bob Gibson said yesterday (Tuesday).

In an upbeat message to members, Bob explained that the previous limit of six ‘door-to-door’ items per walk, per week will rise to seven in some areas of the country as the company continues its drive to increase its share of this important revenue stream.

Back in 2010, the union agreed to remove the then three-item cap on these products as part of the Business Transformation 2010 agreement.

“The union agreed to this change as we could see that this was a potential growth area and, had we maintained the cap, then this work would have been lost to competitor companies such as TNT,” Bob pointed out.

“The agreed switch from a per-item, piecework-type payment system to a universal, weekly payment went hand-in-hand with placing door-to-door work into general workload – changes which were also part of the 2010 agreement.”

The CWU’s position appears to have been vindicated by recent market reports showing this activity up by both volume and expenditure on a year-on-year basis. A UK study by the Direct Marketing Association reports 3.5 per cent (volume) and 3.9 per cent (expenditure) growth respectively. Read the full report here: UK door drop industry growth returns, report reveals.

And a continent-wide analysis by the European Letterbox Marketing Association (ELMA) reported an overall volume rise of 2.3 per cent and placed the UK in fifth place among the 22 countries surveyed. Read the full report here: Unaddressed marketing mail rebounding from recession, says study.

According to the ELMA study, the average European household receives 12 of these items per week – compared to a UK figure of five.

“It’s clear this is a growing area – and one set to increase further,” said Bob, adding: “The Quality of Service provided to current Door to Door customers by our members continues to improve and deliver a powerful message about the value of the service provided and the response customers can expect to their advertisements.”

Read Bob’s full message to members, along with detailed advice in LTB 604/13 Door 2 Door growth – 7 items per week

Dave Ward gave a fiery speech at TUC Congress this morning seeking support for a motion against privatisation of Royal Mail.

“The government has announced its intention to privatise Royal Mail. But we had our own announcement last week: we will be balloting our members for strike action” said Dave, to loud applause in the conference hall.

“What’s frustrating about the debate on the future of postal services is that we’re against change. But we’re not through all the pain of change just to hand it over to private investors – not when the fortunes of the company have been improved, literally delivered on the backs of our members.”

Dave questioned the lack of vision held by politicians for Royal Mail and called for more action from the Labour Party. “Our members want to see Labour defending this public service” he said.

Dave’s closing message was to the City. “We have a warning for investors – CWU will fight to protect UK postal services. Hands off our Royal Mail.”

Seconding the motion was Unite assistant general secretary Tony Burke, who represents 8,000 Royal Mail managers. He told TUC delegates: “It is clear; the government is motivated by the chance to make a quick buck – a chance to sell off one of our prized assets at a massive cost to the taxpayer.

“It is an attempt to raise cash to spare the blushes of the chancellor and prime minister and their failing economic plan. Even Thatcher saw it as a step too far; Tories see votes going down the pan in their constituencies as people say “No to the sell off”.

The motion was passed unanimously by delegates.

Read motion 44 in full.

Supporting motion 24 on fair pay for young workers, CWU’s Tony Kearns called it “the most important debate at Congress.”

Tony outlined the challenges faced by young people, with high youth unemployment, low wages and the fact that on average you now have to be 35 before you can save up enough for a deposit on a house. “The most damning fact” said Tony, “is that this generation of young people is going to be the first since the war to be poorer than the generation before.”

He appealed to Congress not to stand shoulder to shoulder with young workers, but to “put young workers at the front and stand behind them.”

This motion drew a dynamic range of speakers – mostly young people speaking from direct experience of low wages, exploitation and limited opportunities – and was voted through by delegates.

Labour leader Ed Miliband addressed Congress in the session before lunch. Read his speech in full.

Following his speech Ed Miliband took a number of questions. The first of these came from a group of young workers. CWU Youth chair Chris Hand was third to ask the Leader of the Opposition a question, and his directly related to union members: “what will the next Labour government do to encourage young people to understand and join trade unions?”

In response, Mr Miliband affirmed the importance of trade unions and the need to recruit young people into membership. “We need to show what trade unions do for people” he said. He also criticised the attempts of David Cameron to paint unions as ‘the enemy within’, saying: “I’m not going to let him get away with putting stigma on trade unions.”

Afternoon session

CWU delegate Bob McGuire, a rep from the North East, supported a motion about having an inquiry into the police action at Orgreave during the miners’ strike. He spoke of the fear felt by families living in villages around Durham who had their lives turned upside down; about the streets being lined with riot police from the Metropolitan Police Force. The motion was passed by Congress.

Amarajite Singh, CWU delegate from Cardiff, spoke on a motion about trades union councils, arguing the point that a trades union council delegate should be allowed to attend TUC Congress and move their motion. AJ argued that this would be consistent with what happens with representatives of other union bodies, such as TUC Women’s Committee. The motion was carried by Congress.

Tony Sneddon, CWU delegate from Scotland and member of the CWU Disability Advisory Committee, spoke on a motion about defending the Welfare State and the rights of disabled people. He outlined the disproportionate effects that cuts to welfare will have on the disabled and the need to avoid this. He received a warm round of applause from Congress when he revealed he is one of thousands of Post Office workers who have taken 11 rounds of strike action in the current dispute over pay, jobs and closures. The motion was carried.

In a rousing speech to Congress, TUC general secretary Frances O’Grady told the government: “hands off our Royal Mail.” Describing the plans as “the latest sell-off of the family silver” she called the move “stupid and senseless”. Her comments were met with cheers from the CWU delegation and spontaneous applause from across the packed floor of the conference centre.

It was Frances’ first speech as general secretary and one which sent clear and challenging messages to government on its failing economic policy, attacks on trade union freedoms and attempts to restrict political campaigning and democracy.

“This government is intent on dividing Britain – those in work and those out, those on benefits and those not, and the south from those in the so-called ‘desolate north’,” she told Congress.

Giving a damning account of the government’s record on the economy, she called the current system “capitalism on crack cocaine” before saying “but it wasn’t always this way.” She asked where the ‘caring’ Conservative party of previous years had gone, the one in which John Major wanted to see a ‘classless society’ and which Theresa May warned of becoming ‘the nasty party’. Contrasting this with record youth unemployment, divisive policies and sending immigration advertising vans into multi-racial communities with a slogan last used by the National Front, Frances gave a damning view of government actions.

Billy pointed out the role for public spending in terms of reducing unemployment and stimulating an upturn in GDP. He was also scathing of plans for a “fire sale of national assets through privatisation”, listing not only Royal Mail, but the Probation Service, Student Loans Company and our controlling share in RBS and Lloyds.

She drew laughter and applause from delegates when she turned to the often used description of government-PR man Linton Crosby as ‘the Wizard of Oz’. “What does this make Cameron, Clegg and Osborne then?” she asked. They were the scarecrow, the tin man and the lion: “no brain, no heart and no courage.”

Frances was stinging in her attack on government attempts to restrict trade union freedoms. Pointing out that unions already report their membership figures annually, she explained that trade unions have more than ten times the members of all political parties put together. “It could be more, we really don’t know because they don’t publish their figures – in fact the Tories have refused to publish them” she said. Frances then sent a direct message to the Prime Minister: “Before he starts lecturing us on transparency, I challenge David Cameron to publish his membership figures.” Frances also condemned the ‘gagging bill’ (Lobbying and Trade Union Admin Bill) currently going through parliament, calling it “anti-democratic and dangerous.”

Frances announced four policy aspirations from the TUC: full employment – to be paid for by fair taxation; new council housing; new wages councils to guarantee fair pay; and an NHS “once again a public service run for people not for profit.” To the last pledge she added a call for care for the elderly to be brought into public ownership and for proper childcare to also be prioritised.

The eloquent yet fiery speech covered key contemporary issues facing UK industries, society and the trade union movement. It sent clear and balanced messages to the government and was a rallying call for better rights for ordinary people. Congress delegates got to their feet to give Frances O’Grady a lengthy standing ovation when she completed her address.

Read Frances’s speech in full.

CWU general secretary Billy Hayes moved a heavyweight composite motion on economic policy on Monday afternoon, calling for investment not cuts as a solution to stagnation and unemployment.

“The first period of Osborne’s economics has been a failure” he told Congress. “The economy is still nearly 3% smaller than it was in 2008 when the recession first hit; private investors are still on strike. Had the government continued to wait for them, we would still be in recession” he said.

“We don’t care who it is advocating austerity, it doesn’t inspire” he warned. “However, one cut that could be usefully made is in military spending” he offered, explaining: “We are are the seventh largest economy in the world but we have the fourth largest budget in military spending. If we simply made military spending priportionate to our economy we would have a saving of £14 billion a year available for productive investment.”

The motion was seconded by the Chartered Society of Physiotherapy and drew speakers in support from many unions. It was carried in a vote by Congress.

Read Billy’s speech and the wording of the motion in full on Billy’s blog.

Delegates watched this video charting the success of the TUC’s recent Austerity Uncovered bus tour. See for yourself what they found out about the effect the Government’s cuts are having on ordinary working people around the country and look out for the CWU’s giant inflatable post box!

CWU is represented this week, alongside all other affiliate unions, at the TUC Congress 2013. The congress is being held in Bournemouth and the union has a full delegation in attendance to promote members’ interests.

Kicking off the week, CWU joined other unions by holding a press conference with the national media. Hosted by CWU’s general secretary Billy Hayes and head of communications Kevin Slocombe, the conference updated the press on the union’s campaign against the privatisation of Royal Mail and the announced national strike. In addition the general secretary fielded questions on the ongoing POL dispute and a lead news story on the Labour / trade union link. Billy also appeared live on SkyNews on the latter subject and promoted the CWU’s postal strike ballot.

The conference opened on Sunday (8 September) and the first day’s business focussed on employment rights and equalities.

Day 1:

CWU delegates were involved right from start of TUC 2013, speaking in the first two debates which covered some of the most contentious subjects on the agenda.

“There are no laws so bad that they can’t be made worse by the Tories” Unite general secretary Len McClusky told Congress in moving the first motion of this year’s event. Composite motion 14 cut straight to the heart of cuts to employment rights, worsening terms and conditions for workers and more attacks on trade union rights.

Speakers from a range of unions raised the spectrum of attacks on employment rights and conditions – from zero hour contracts, the ‘shares for rights’ scheme, and fees for employment tribunals – in an annual round-up of how bad things have got in the last year. As a Prospect speaker put it; “the list of attacks on employment rights is never-ending.”

Speaking in support of the motion, CWU deputy general secretary Andy Kerr told Congress of the cautionery tale of union derecognition in Virgin Media. “Union-busting practices are becoming commonplace” he warned. Andy explained how last November CWU and BECTU were given two days’ notice of the company’s intention to consult on union recognition. Staff were bombarded with company propaganda and the company included people not in union bargaining units in a ballot on recognition. The result was a slim 52% in favour of derecognition. “Our members were angry, shocked and in some cases scared” said Andy, pointing out that there has never been a dispute with the company. “Union-busting is big business, worth £4 billion the USA, and a manager in the company has form in this area.”

Andy’s contribution added to other shocking stories on the removal of health and safety protections, and exploitation of working people. With a wide range of examples, the motion was carried, calling on the TUC to oppose detrimental changes to employment rights, campaign for positive legal frameworks for trade unions, and to end the ability of companies to hire ‘union busters’, among other obligations.

Coordinated strike action was the subject of the second motion – a subject which the TUC General Council took no position on, leaving Congress to decide. RMT general secretary Bob Crow moved the motion with a characteristically impassioned speech, saying: “We have marched and they’ve not listened to us. We have to do what the trade union movement always does – get off our knees and fight for what we stand for.”

Tony Kearns at TUC 2013
CWU senior deputy general secretary Tony Kearns spoke to second the motion. In urging Congress to vote in favour, he described the economic landscape in which the argument is embedded. “4.8 million people are earning less than the living wage, 14 million are living below the poverty line, use of food banks has tripled and homelessness has risen 23% – and all this in the sixth richest economy in the world. And yet corporate profit is at highest levels” he said. “The narrative of media is to drive unions out of political life. The acts of government are coordinated and it’s right that we review our position to consider coordinated action in response” he said.

The motion brought opposition from Community, USDAW, Prospect and ATL, but when put to the vote TUC President Lesley Mercer announced it was “clearly carried”.

In her address to Congress, Lesley paid tribute to public services telling delegates “companies like Royal Mail make our society civilised”.

International speaker Amirul Haque Amin from the Bangladesh garment workers’ union addressed Congress towards the end of the day. He spoke of the 1,133 workers who were killed and 1,500 injured when a factory collapsed earlier in the year. He urged members to put pressure on UK retailers to sign up to an accord which would provide protections for workers. His message was one of solidarity and international support and he received a standing ovation from delegates. Congress then voted through motion 76 in support of the IndusriALL/UNI Global Union Accord and calling for similar ethical trading initiatives covering goods and shops in the UK.

TUC 2013 continues in Bournemouth this week until Wednesday. More reports to follow. Follow @CWUnews on Twitter for live updates.

CWU delegation:

The delegation is led by general secretary, Billy Hayes and senior deputy general secretary Tony Kearns. Both deputy general secretaries Andy Kerr and Dave Ward are present, as is national president Jane Loftus. The remainder of the delegation is made up of representatives elected to specifically represent CWU at TUC. From the NEC are Nick Darbyshire and Mick Kavanagh and from the T&FS executive, Tracey Fussey. Bob McGuire is a Divisional representative for the North East and other delegates are Craig Anderson, Francis Banks, Jackie Gatward, Kate Hudson, Jim McKechnie, Sajid Shaikh, Jean Sharrocks, Amarjite Singh, Joyce Stevenson and Tony Sneddon.

General secretary Billy Hayes has welcomed this week’s House of Commons resolution* calling on the Government to provide “concrete protections” for rural postal services and maintain the current universal service obligation.

On the same day that the CWU announced its decision to hold a national strike ballot, MPs debated a motion proposed by North Ayrshire and Arran Member Katy Clark, which voiced widespread concerns at the twin impact of Royal Mail privatisation and end-to-end competition on the remote areas of the UK.

Backbench Conservatives and Liberal Democrats from rural areas of England joined Labour Members and those from the parties of Scotland, Wales and Northern Ireland in expressing their fears over what could happen if this vital public service is left at the mercy of unregulated privateers.

“This cross-party breadth of opinion accurately reflects what our activists have been reporting from their high street campaign stalls right around the country,” Billy said, and explained: “Apprehensions about the future are felt by supporters of all the parties – and particularly in less populated parts of the nation.

“We welcome this resolution as a clear indication of the vital importance of our industry to every part of the UK.”

MP Katy Clark speaking at a parliamentary debate opposing Royal Mail privatisation in June.
Introducing the debate in the Commons, Ms Clark said: “I represent a rural constituency which contains many small town and island communities, and I know there is a great deal of concern among post offices in my area about the impact that privatisation will have on the services that they provide.

“Rural post offices and postal services are most vulnerable because they are the most costly.

“Private parcel delivery companies routinely charge a high premium for delivering to remote or rural areas or to islands-or simply refuse to deliver at all,” she continued, adding: “Even in areas of my constituency where private companies are normally willing to deliver, as soon as there is a bit of bad weather only Royal Mail continues to provide a service.”

Read Katy Clark’s speech in full.

Her fellow Scots Mike Weir (Angus) and Alan Reid (Argyll and Bute) also contributed to the discussion, Mr Weir arguing that “a reliable universal mail service is essential” to small, local businesses, while Mr Reid pointed out that the “Department for Work and Pensions has an important role to play by giving business to the Post Office.”

Eilidh Whiteford (Banff and Buchan) agreed that the sell-off could impact negatively on small businesses, predicting that “the whole local economy of large swathes of rural parts across these islands will be severely detrimentally affected.”

Ms Whiteford said that her constituency had no railway stations and also had problems with broadband access. She insisted that it was therefore “important”, to recognise that the Post Office and postal services are “part of the essential infrastructure” in such localities.

From across the Irish Sea, South Down’s Margaret Ritchie described the legislative provisions relating to the universal service in the 2011 Postal Services Act as “lukewarm reassurances.”

Ms Ritchie told the House that, among her constituents “it is feared that once private owners are placed under financial and competitive pressure, they will re-examine it and seek to change the terms of that important social compact, or be forced to contract their service.”

North Antrim MP Ian Paisley warned that some of his electors could be “starved of a service.

“People on the island of Rathlin, which I represent, will be forced to come to the mainland of Northern Ireland to collect their post,” he explained, and insisted: “Such a strangulation of service cannot be allowed to happen.”

Summing up the feelings of most people, the independent Member for North Down, Sylvia Hermon, said: “There will remain a nervousness and anxiety right across Northern Ireland about the Government’s future intentions in relation to both Royal Mail and postal services.”

Former Government Minister Peter Hain (Neath) highlighted the problems faced by many residents of “the remote former mining villages” in his South Wales constituency.

“There are many pensioners and others who do not have cars and are not online and for whom rural postal services are absolutely vital and the universal service provided by the Royal Mail makes a vital contribution to life,” he told the Chamber.

Like Ms Ritchie, Mr Hain was not reassured by the service protections contained within the 2011 Act – they cover “only the basic minimum” and “could be easily changed while remaining legally compliant,” he pointed out.

Susan Elan Jones (Clwyd South) echoed Ms Whiteford’s dire forecast about potential damage to local, rural economies, describing as “immense” the “disincentive” effect that higher postal costs will have on small businesses when the public-service ethos of Royal Mail is replaced by the profit motive.

“I urge the Government to listen to the ‘country mice’ and reconsider their flawed and unpopular plans to privatise Royal Mail,” she concluded.

English Conservatives Paul Beresford (Mole Valley), Neil Carmichael (Stroud), Jesse Norman (Hereford and South Herefordshire) and Sarah Newton (Truro and Falmouth) all took the opportunity to have their say on the issue. And while they were critical of past Labour Governments, each of them also expressed areas of concern about the uncertain future.

Mr Norman reminded the House that “many of these sub-post offices are also rural sorting offices and it is equally important to preserve that aspect,” while Ms Newton was worried that “there will be cases in which remote rural communities need these services so much that, although it will not be possible for them to develop commercially, they will need continued public subsidy.”

Mr Beresford said: “The importance and vitality of a rural post office and postal service must not be underestimated” and Mr Carmichael pledged: “Those of us in rural areas will argue strongly that as we move into a new era for postal services, those services must be protected in law.”

Labour’s John McDonnell (Hayes and Harlington) strongly criticised the current Government for its “failure to deliver the additional work promised to the post offices,” suggesting that this was the reason why “the industry has lost confidence in the Government,” and his Labour colleague Huw Irranca-Davies (Ogmore) told MPs that “the link between Royal Mail and individual post offices is crucial.”

For the Liberal Democrats, North Cornwall’s Dan Rogerson described his constituency as a “big rural area without a single railway station and where people rely on services that are close to them, wherever possible.

“It is a huge source of anxiety to them if they feel that a service that provides access to the wider world is going to be withdrawn,” he continued, insisting: “Postal services are vital.”

Post Office Minister Jo Swinson replied to the debate by setting out the Government’s policy and the reasons for it, making a particular mention of the 2008 Hooper Report and the recommendations that Richard Hooper made at the time.

On the issue of Royal Mail privatisation, Ms Swinson put forward the Government’s main argument that this is necessary in order for the company to “access private capital,” but she did not reply to the argument that both Katy Clark and Peter Hain had put forward that privatisation is not necessary for this, or their citing of the example of Network Rail.

Reflecting on the debate, Billy Hayes said: “It’s quite revealing to hear so many contributions from all of these different areas of the country – but the worries are all very similar.

“The Government has not made a case for privatisation at all – their main argument still seems to be this old chestnut that it’s ‘the only way to access capital’ which we’ve pointed out time and time again is not necessary.

“Network Rail is a not-for-profit company, which accesses private capital for its infrastructure investment and, crucially, it’s this very status of Network Rail that gives it stability, makes it a ‘sound investment’ and means that it can ‘access private capital’ at far, far better rates than any private company would be able to do.

“The Government’s main argument is completely contradicted by the actual reality,” Billy concluded.

* “That this House recognises the vital contribution that Royal Mail makes to rural areas; notes that the six day a week collection and delivery service to rural and remote areas is invaluable to local life; further notes that the relationship Royal Mail has with the post office network is equally important for the continued survival of post offices; recognises that the impending privatisation of Royal Mail will place a question mark over its willingness to maintain what may be loss-making services; and calls on the Government to provide more concrete, long-term protections for postal services in rural areas, remote areas and islands while ensuring that the postal universal service obligation in its current form endures.”

A petition being handed into Number 10 today (Wednesday) shows the swell of public opposition to government plans to privatise Royal Mail.

CWU general secretary Billy Hayes joins campaigners from the Save Our Royal Mail coalition to hand in a 160,000 strong petition to Downing Street, sending a strong message that the public do not support the government’s plans.

Billy Hayes, pictured far left, with campaigners from the Save Our Royal Mail coalition
Billy Hayes, CWU general secretary, said: “This petition is an indication of the strong opposition felt across the country against plans to privatise Royal Mail. This company is a valued national asset which made £403 million profit last year and is the foundation of the country’s mail services.

“At events up and down the country we have met people from all walks of life who are against privatisation plans. Tens of thousands more signatures are also on paper petitions collected at street stalls in towns and villages across the UK. Last weekend we were in Twickenham – Vince Cable’s constituency – and shoppers were queuing up to sign the petitions against privatisation.

“There are plenty of options for keeping Royal Mail a successful, publicly-owned company and we hope that the Prime Minister will take on board the views of significant numbers of British people.”

If the petition had been hosted on the Number 10 website it would have smashed the target of 100,000 signatures required to secure a debate in parliament on the issue. A BIS Select Committee session on Royal Mail privatisation and shares due to be held next week has been postponed until October.

Presenting the petition to Downing Street at 2pm on Wednesday 4 September are:

Billy Hayes – General Secretary of the Communication Workers Union
Darren Rowbotham – Postman who wrote a petition on change.org
Dot Gibson – General Secretary of the National Pensioners Convention
Mario Dunn – Campaign Director of Save Our Royal Mail
Martin Forsythe – Campaign Manager of Save Our Royal Mail
Katy Clark MP – Labour
Kate Hoey MP – Labour
Mike Weir MP – Scottish National Party

CWU leaders will be seeking the support of both the TUC and Labour Party for the fight against Royal Mail privatisation in September, when congress and conference delegates will be urged to back motions opposing the controversial sale.

The CWU’s motion to TUC, which will be moved by deputy general secretary Dave Ward, calls on the six-million strong union federation to: “Support the campaign to Save Our Royal Mail” and asks every one of the 54 affiliated unions to “participate in its activities.”

Congress delegates, who will assemble in Bournemouth next week, will also be asked to give their backing to the CWU’s 4,000 Post Office members, who have taken 11 days of strike action since Easter in their fight for fair pay, job security and the defence of the network.

Later this month, CWU general secretary Billy Hayes will ask Labour Party members to re-affirm their solid anti-privatisation position, and to commit the next Labour government to returning Royal Mail to public ownership if the current government carries out the sale.

Speaking to yesterday’s CWU national postal briefing, Billy explained: “We’ve got a contemporary motion, but sometimes not every contemporary motion is heard. So we need support from some of the larger unions to ensure our motion remains on the agenda.”

“There are indications that both Unite and the GMB may support our motion, and this will be extremely welcome and helpful.”

The general secretary also asked all CWU members who belong to the Labour Party to seek the support of their local CLPs for the motion, adding that this would also increase its chances of being debated at the Brighton conference.

“We’ve also got a Labour Party Conference Fringe meeting planned in the town on the 23 September, which is the Monday of conference, and we want to encourage as many people as possible to come along,” Billy continued.

There will also be ‘Save Our Royal Mail’ fringe meetings at both Liberal Democrat and Conservative party conferences, with panels set to debate the arguments for and against privatisation.

Yesterday’s CWU briefing also heard Dave Ward set out the timetable for the forthcoming national industrial action ballot and the key reasons for the dispute, which can be read here: Strike ballot for Royal Mail workers.

In a stirring speech to some 500 reps and branch officers who had gathered from across the country, Dave said: “There are enormously high stakes and these are vitally important issues – pay, pensions, and the impact of competition and privatisation on terms and conditions.”

The key aim of the union is to win a legally binding comprehensive agreement with Royal Mail, which will continue to apply permanently “regardless of ownership,” he explained.

And if the company wants to avoid a dispute, then they must “do the right thing and reach agreement with us”, Dave added.

Every dispute carries an element of risk, Dave continued, but added: “The risk of doing nothing is greater and these issues are worth fighting for.”

Billy highlighted the need for unity across the union at this time, warning the audience to prepare for the inevitable attacks from the CWU’s opponents.

“They’ll say this is just an ideological issue over ownership of the company – but we must remain focussed on the fact that this is a serious dispute about defending our members in the workplace,” he said.

Motions:

Motion to Labour Party

No privatisation of Royal Mail

“Conference notes the August publication of Royal Mail executives’ pay levels, with its chief executive earning £1.47 million.

Conference notes the intention of the coalition government to privatise Royal Mail in the autumn or winter.

Conference states its opposition because it will lead to:

Higher prices for small businesses and domestic consumers
Pressure to end the six-day delivery and uniform tariff
A deterioration of services in rural and ‘non-profitable’ areas
The prioritisation of shareholder dividends over service provision
Conference believes it is vital Labour is seen to defend the public postal service. The most recent YouGov poll registered 67 per cent against the privatisation of Royal Mail.

Conference notes Royal Mail made £403m profit in the most recent financial year. Any necessary investment in Royal Mail can be secured from its own profits, and by allowing it to borrow from commercial markets. Across the EU, government-related entities like Royal Mail are allowed such facilities. Royal Mail could become a successful ‘not-for-dividend’ company whilst remaining a publicly owned service. In line with practice elsewhere in the EU, such borrowing would not be counted on the PSBR (public sector borrowing requirement).

Conference believes privatisation will jeopardise the contribution Royal Mail makes to the national economy through the universal service obligation. Conference agrees an incoming Labour government should re-nationalise Royal Mail in the event of the coalition government actually selling the company.

Finally, Conference agrees organising against the proposed sale should be an immediate focus for the Labour Party.”

Supporting information (not part of the motion)

On Friday 2nd August, details of Royal Mail executives’ remuneration were published indicating private-sector excess is already affecting pay levels as the government prepares to try to sell the company off.

There were 12 Royal Mail executives who shared pay and packages totalling £3,753,000 last year.

The company is now paying £1.47m to chief executive Moya Greene for 2012/13 – up more than a third from the previous year, when she took home £1.1m.

Moya Greene and senior executives Mark Higson and Matthew Lester all receive a cash supplement equivalent to 40 per cent of their salary in lieu of pensions.

The government plans to try to sell Royal Mail this year. Labour should oppose it and make clear it will reverse any such move.

Motion to TUC

Royal Mail Privatisation

Congress notes the intention of the Coalition Government to privatise Royal Mail. Privatisation will lead to higher prices for domestic and small business customers. Private owners will press for the removal of the current universal service and uniform tariff obligations. Inevitably service will decline for rural and remote areas.

Congress rejects the government’s suggestion that this is the only method that can secure investment for the service. In the previous year Royal Mai made £411 million profit as a public service, and could become self-financing. Without changing ownership, Royal Mail could borrow money from markets, at a cheaper rate, in line with companies such as Network Rail. Such methods of investment operate throughout the EU for government related entities such as Royal Mail.

Congress applauds the decision of postal workers to reject privatisation in an independent ballot by 96% on a 74% turnout. This was despite government attempts to buy-off the workforce with suggestions of a distribution of shares to staff.

Congress registers that the CWU is in dispute with Royal Mail on future terms and conditions, and supports its campaign to defend these.

Further, Congress supports Post Office staff who have undertaken a number of days strike action for justice on pay, and against the downgrading of the Crown Office network. Congress pledges its support for an equitable settlement.

Congress agrees to support the campaign to Save Our Royal Mail (SORM), and directs the General Council to ensure the TUC’s participation in its initiatives.