Royal Mail Welcomes 'Peace Deal'

There's a merrier than expected festive season ahead with news last night that Christmas post deliveries will not be hit by strike action.

It was confirmed overnight that a deal had been reached between postal workers and Royal Mail which halted today's planned industrial action.

TUC Leader Brendan Barber said the agreement halts any industrial action until after the Christmas period.

He said it provided for a "period of calm" in the run-up to and beyond Christmas, free of industrial action, to enable further negotiations to be held to secure a longer term deal.

Dave Ward, of the Communication Workers' Union, said: "We hope we can genuinely take forward modernisation in a way that puts the union at the centre.

"Our members will now know we can deal with modernisation in a way that gives them improved job security and improved terms and conditions," he said, but added that the union was under no illusions about the hard work ahead.

"It will take exceptional efforts to rebuild trust," he said, "but we will work very hard to ensure that the agreement stays on track."

The deal was reached just hours before the latest 24-hour national stoppage was due to begin on Friday.

Commenting, Mark Higson, Managing Director of Royal Mail Letters, said: "I'm delighted

for our customers and our people that we've got back to a sensible agreement with the CWU that will allow us to 'deliver' a great Christmas while getting on with vital talks about the long term future of Royal Mail - and allows us to drive forward with the essential modernisation of Royal Mail in the new year.

"We look forward to positive and constructive discussions on the next stage of Royal Mail's modernisation plan, which is key to the future of the company, all those who rely on it, and to the future of the Universal Service," he said.

However, he also laid down some guidelines: "The future of the Royal Mail pension scheme does not and cannot form any part of this agreement.

"Earlier this year, the government put forward a package of solutions which provided a resolution to the pension issue and would have helped secure our people's benefits – however the CWU chose to campaign against that package and the government has since made it clear that it is now no longer available."

In conclusion, Mr Higson added: "I'm extremely grateful to Brendan Barber for the tremendous help and support he has given over the last few weeks.

"I'd also like to thank all those who have worked so hard to minimise disruption and

to keep the mail moving for our customers," he said.

(BMcC/KMcA)