Royal Mail Group Ltd. workers voted for strike action less than a week after the U.K. postal service’s 1.7 billion pound ($2.72 billion) initial public offering, which unions say will put jobs at risk.
Royal Mail Group Ltd., the U.K.’s 360-year-old postal service, intends to hold an initial public offering of a majority stake “in the coming weeks” to help the company gain a competitive edge against European rivals.
Royal Mail Group Ltd., Britain’s 360-year-old postal service, closed 38 percent higher on its trading debut, heightening criticism of an initial public offering that opposition politicians say was underpriced.
Royal Mail Group said no strike action by workers would take place in four London sites after it agreed an operational plan with the Communication Workers Union about the changes to mail centers in Greater London, the company said in an e-mailed statement today. The CWU confirmed that no strikes would take place in the sites, the statement said. The program of change will result in about 750 job cuts which will be carried out without compulsory redundancies, Royal Mail said in the statement.
The Communication Workers Union called two more days of strikes at the U.K.’s Royal Mail Group Plc starting next week, and negotiators plan to resume talks in the dispute over job security and work rules.