Socialist Worker

Post workers have pushed Royal Mail bosses back - now they deserve more

by Nick Clark
Issue No. 2591

CWU union members fight has won concessions, but they shouldnt suffer worse pensions to protect profits

CWU union members' fight has won concessions, but they shouldn't suffer worse pensions to protect profits (Pic: Socialist Worker)

Postal workers’ union leaders are set to hold meetings with reps in locations across Britain over the next few weeks.

They hope to secure support for an agreement with bosses at Royal Mail that would end a long-running dispute that almost led to national strikes.

Bosses have abandoned some major attacks on pay, pensions and conditions. That’s something Royal Mail workers can be proud of.

Yet the deal includes a pension scheme that’s much riskier than the one that many Royal Mail workers are currently on. Pension payments will be left at the mercy of the stock market.

And the government still needs to pass legislation to allow such pensions schemes to be set up.

There’s no guarantee if or when they will do this.

Until then workers will have to give up their current scheme for an interim arrangement that involves two separate lump sum schemes.

The pay deal secured is much better than in other industries.

But the amount of money paid into workers’ bank accounts from 2018 and 2019 will still be a real-terms pay cut.

CWU members will vote on the agreement after the reps briefings. Workers shouldn’t have to take worse pensions and pay to protect bosses’ profits.

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