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TOP NEWS: Royal Mail Hails Union Pay And Pensions Deal Vote Result

28th Mar 2018 17:32

LONDON (Alliance News) - Royal Mail PLC welcomed Wednesday the vote from members of the Communications Workers Union which was "overwhelmingly" in favour of the pensions and pay deal proposed by the post and parcel deliverer.

Royal Mail said the union's members "voted overwhelmingly in favour of the agreement in principle on pensions, pay, a shorter working week, culture and operational changes."

The CWU reported its members voted 90.1% in favour of the deal.

In early February, Royal Mail and the CWU agreed a deal which included a three-year pay deal and a two-hour cut in the working week. It also initiated the first collective defined contribution pension scheme in the UK alongside a guaranteed lump sum.

Collective defined contribution schemes have fixed contribution rates from employers and employees yet pool investment and longevity risk across its members.

This followed strike action taken by the CWU and its members in October 2017.

CWU Deputy Geneal Secretary Terry Pullinger said the deal "confronts the challenges of our time and significantly improves our members' pay, working hours and workplace culture, both for current and the future generation of postal workers. The agreement also extends the legally binding protections which gives postal workers confidence that the Royal Mail Group will not be broken up and that protecting the six day Universal Service Obligation emains a priority."

Shares in Royal Mail closed 0.5% lower at 529.106 pence on Wednesday.


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