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Dundee, Perth and Fife jobs at risk as Royal Mail to axe 6,000 workers

A Royal Mail delivery van.
A Royal Mail delivery van.

Tayside and Fife jobs are at risk as Royal Mail plans to make 6,000 redundancies.

The delivery giant is blaming industrial action for mammoth financial losses.

Bosses called on union chiefs to call off their latest strike action and come to the table over a deal but stressed that the job cut plans cannot be avoided.

Royal Mail chief executive Simon Thompson said the planned redundancies are a “minimum”. More redundancies could take place if current strike action is extended.

Dave Ward, boss of the Communication Workers Union (CWU) condemned the move as a result of “gross mismanagement and a failed business agenda”.

Royal Mail jobs

The firm said the move is in response to the “impact of industrial action, delays in delivering agreed productivity improvements and lower parcel volumes”.

It said it is seeking short-term cost efficiencies through the planned reduction of 5,000 full-time equivalent roles by March and around 10,000 by August 2023.

This is expected to require between 5,000 to 6,000 redundancies by August.

Sorting mail at a Royal Mail depot – the company plans to axe thousands of jobs.

Royal Mail, which employs around 140,000 people, is likely to make a £350 million operating loss.

The cuts announcement comes a day after Royal Mail workers in the CWU launched a fresh strike in a long-running dispute over pay and conditions.

Action by the CWU is to take place over a further 19 days, including the build-up to Christmas.

Workers being ‘held to ransom’

Mr Thompson said: “This is a very sad day. I regret that we are announcing these job losses.

“We will do all we can to avoid compulsory redundancies and support everyone affected.

“Each strike day weakens our financial situation.

“The CWU’s decision to choose damaging strike action over resolution regrettably increases the risk of further headcount reductions.”

CWU general secretary Dave Ward responded: “This announcement is holding postal workers to ransom for taking legal industrial action against a business approach that is not in the interests of workers, customers or the future of Royal Mail. This is no way to build a company.

“What the company should be doing is abandoning its asset-stripping strategy.

“The CWU is calling for an urgent meeting with the board. It will put forward an alternative business plan at that meeting.”

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