More Royal Mail managers facing the axe in snap cull

Royal Mail's chief executive, Moya Greene, has ordered a snap cull of delivery office managers as part of her latest round of cost cuts to get the company ready for privatisation.

Managers were told on Friday that all those who had volunteered for redundancy would leave by the end of this month apart from a minority the company wants to keep.

Departing managers will be paid their 12 weeks' notice as well as their redundancy terms in an apparent show of decisive action after Royal Mail posted a loss last week.

The cuts are said to cover all management grades on permanent contracts with the group. It is unclear how many will be affected.

No compulsory managerial redundancies have been made so far, but a further swathe of managers were declared "surplus" and will be moved to fill vacancies in other offices in a process known as "bumping".

A Royal Mail spokesman said: "Royal Mail is in a difficult financial position. Mail volumes have fallen by more than 20% in the last five years and are forecast to fall by around 5% a year in the future. We have made clear the company will be smaller in future as a result of volume declines. This is irrespective of any moves on privatisation.

“We announced in March we would be consulting Unite/CMA on reducing operational managers by 1,000 through voluntary means. This followed a separate review which means 1,700 non-operational managers in head office departments are leaving. As part of this process, some managers who had applied for voluntary redundancy were told last week their applications had been accepted.

“There has been no new job reductions announced. It remains our policy to first tell our colleagues and the unions about any developments affecting people in the company.

“Since 2002, 45,000 people full time equivalent people have left Royal Mail Group."



The sudden move is said to have been taken without consulting the Communication Managers Association union, which was taken by surprise. The union, which represents Royal Mail's rank and file, is already considering industrial action to fight the plan.

Ms Greene ordered area managers to tell staff of the latest cuts by Friday.

She warned publicly last week that more cuts were on the way after Royal Mail's letters division posted a loss of £120m for the last financial year. This sent the group to a £49m loss for the year from a £113m profit the year before.

Friday's job reductions show Ms Greene's cuts digging into managerial posts. The group announced in March that it intended to reduce the number of operational managers it employed by 1,000 through a programme of voluntary redundancies.

Ms Greene, the former head of the Canadian postal service, was parachuted into the top job at Royal Mail to get the company in shape for a sell-off that could be delayed until she turns performance around. She made £637,000 in pay and bonuses last year.

Start your day with The Independent, sign up for daily news emails
ebooks
ebooksAn introduction to the ground rules of British democracy
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Recruitment Genius: Mortgage Advisor - OTE £95,000

£40000 - £95000 per annum: Recruitment Genius: This is an exciting opportunity...

SThree: Trainee Recruitment Consultant

competitive: SThree: Are you passionate about sales?Do you have a keen interes...

Recruitment Genius: Loan Adviser - OTE £30,000

£17000 - £30000 per annum: Recruitment Genius: This is an exciting opportunity...

Recruitment Genius: Sales Assistant / Buyer

£15000 - £17000 per annum: Recruitment Genius: This company offers a range of ...

Day In a Page

Isis in Syria: Influential tribal leaders hold secret talks with Western powers and Gulf states over possibility of mobilising against militants

Tribal gathering

Influential clans in Syria have held secret talks with Western powers and Gulf states over the possibility of mobilising against Isis. But they are determined not to be pitted against each other
Gaza, a year on from Operation Protective Edge: A growing population and a compromised and depleted aquifer leaves water in scarce supply for Palestinians

Gaza, a year on from Operation Protective Edge

A growing population and a compromised and depleted aquifer leaves water in scarce supply for Palestinians
Dozens of politicians, bureaucrats and businessmen linked to Indian bribery scandal die mysteriously

Illnesses, car crashes and suicides

Dozens of politicians, bureaucrats and businessmen linked to Indian bribery scandal die mysteriously
Srebrenica 20 years after the genocide: Why the survivors need closure

Bosnia's genocide, 20 years on

No-one is admitting where the bodies are buried - literally and metaphorically
How Comic-Con can make or break a movie: From Batman vs Superman to Star Wars: Episode VII

Power of the geek Gods

Each year at Comic-Con in San Diego, Hollywood bosses nervously present blockbusters to the hallowed crowd. It can make or break a movie
What do strawberries and cream have to do with tennis?

Perfect match

What do strawberries and cream have to do with tennis?
10 best trays

Get carried away with 10 best trays

Serve with ceremony on a tray chic carrier
Wimbledon 2015: Team Murray firing on all cylinders for SW19 title assault

Team Murray firing on all cylinders for title assault

Coaches Amélie Mauresmo and Jonas Bjorkman aiming to make Scot Wimbledon champion again
Wimbledon 2015: Nick Bollettieri - Vasek Pospisil must ignore tiredness and tell himself: I'm in the quarter-final, baby!

Nick Bollettieri's Wimbledon Files

Vasek Pospisil must ignore tiredness and tell himself: I'm in the quarter-final, baby!
Ashes 2015: Angus Fraser's top 10 moments from previous series'

Angus Fraser's top 10 Ashes moments

He played in five series against Australia and covered more as a newspaper correspondent. From Waugh to Warne and Hick to Headley, here are his highlights
Greece debt crisis: EU 'family' needs to forgive rather than punish an impoverished state

EU 'family' needs to forgive rather than punish an impoverished state

An outbreak of malaria in Greece four years ago helps us understand the crisis, says Robert Fisk
Gaza, a year on from Operation Protective Edge: The traumatised kibbutz on Israel's front line, still recovering from last summer's war with Hamas

Gaza, a year on from Operation Protective Edge

The traumatised kibbutz on Israel's front line, still recovering from last summer's war with Hamas
How to survive electrical storms: What are the chances of being hit by lightning?

Heavy weather

What are the chances of being hit by lightning?
World Bodypainting Festival 2015: Bizarre and brilliant photos celebrate 'the body as art'

World Bodypainting Festival 2015

Bizarre and brilliant photos celebrate 'the body as art'
alt-j: A private jet, a Mercury Prize and Latitude headliners

Don't call us nerds

Craig Mclean meets alt-j - the math-folk act who are flying high