Menu
17/05/2005
Royal Mail workers benefit from record profits
Royal Mail workers are set to receive bonuses of £1,074, following the announcement of record profits of £537 million for the year 2004-05.
The national mail service reported the record profits today – an increase of 144% on the £220 million profits announced in the last financial year.
Royal Mail chairman Allan Leighton said that postal workers had achieved “a fantastic turnaround” and would now share in “one of the biggest profit shares with employees in UK corporate history”.
Royal Mail is now making more than £2 million a day profit, compared to losing more than £1 million a day in 2002, before the state-owned operator launched its three-year renewal plan.
Royal Mail also announced that the quality of customer service was now hitting the highest levels in a decade. Royal Mail reported that first and second class mail, as well as all Mailsort and Presstream bulk mail services and Standard Parcels had hit or exceeded their target levels since last July and that the results for first class mail and Mailsort and Presstream bulk mail from last October were “the best in a decade”.
The latest figures also showed that the number of lost letters had almost halved, with 99.92% of mail arriving safely. Record mail volumes were now also averaging 84 million letters a day – one million more per day than last year.
However, Mr Leighton said that there was still “a huge amount” to do and that the company still faced a number of “daunting hurdles” to overcome.
This included a £2.5 billion deficit in the Royal Mail’s pension fund and the continuation of losses in the Post Office branches network, which made a loss of £110 million last year.
Royal Mail also said that the rural network of over eight thousand branches was “fundamentally uneconomic” and needed an injection of £3 million a week in order to survive.
Royal Mail also admitted that it needed to make a “several billion pound” investment in order to successfully update automated sorting technology.
Royal Mail Chief Executive Adam Crozier said: “The hurdles we face are formidable but we are determined to change fundamentally what we do and how we do it. Last year’s results, however, were a powerful demonstration of what Royal Mail and its people were capable of achieving. Postmen and women can be justifiably proud of what they have already achieved. They’ve done a fantastic job.”
(KMcA/SP)
The national mail service reported the record profits today – an increase of 144% on the £220 million profits announced in the last financial year.
Royal Mail chairman Allan Leighton said that postal workers had achieved “a fantastic turnaround” and would now share in “one of the biggest profit shares with employees in UK corporate history”.
Royal Mail is now making more than £2 million a day profit, compared to losing more than £1 million a day in 2002, before the state-owned operator launched its three-year renewal plan.
Royal Mail also announced that the quality of customer service was now hitting the highest levels in a decade. Royal Mail reported that first and second class mail, as well as all Mailsort and Presstream bulk mail services and Standard Parcels had hit or exceeded their target levels since last July and that the results for first class mail and Mailsort and Presstream bulk mail from last October were “the best in a decade”.
The latest figures also showed that the number of lost letters had almost halved, with 99.92% of mail arriving safely. Record mail volumes were now also averaging 84 million letters a day – one million more per day than last year.
However, Mr Leighton said that there was still “a huge amount” to do and that the company still faced a number of “daunting hurdles” to overcome.
This included a £2.5 billion deficit in the Royal Mail’s pension fund and the continuation of losses in the Post Office branches network, which made a loss of £110 million last year.
Royal Mail also said that the rural network of over eight thousand branches was “fundamentally uneconomic” and needed an injection of £3 million a week in order to survive.
Royal Mail also admitted that it needed to make a “several billion pound” investment in order to successfully update automated sorting technology.
Royal Mail Chief Executive Adam Crozier said: “The hurdles we face are formidable but we are determined to change fundamentally what we do and how we do it. Last year’s results, however, were a powerful demonstration of what Royal Mail and its people were capable of achieving. Postmen and women can be justifiably proud of what they have already achieved. They’ve done a fantastic job.”
(KMcA/SP)
Related Northern Ireland Business News Stories
Click here for the latest headlines.
10 February 2006
Missing post costs Royal Mail £11.7m
Postal services watchdog, Postcomm, is proposing to fine Royal Mail £11.7m over "serious breaches" of its licence obligations to protect the mail and deliver it on time. Launched in 2004, the Postcomm review found that important features of Royal Mail's procedures were not being applied across the business.
Missing post costs Royal Mail £11.7m
Postal services watchdog, Postcomm, is proposing to fine Royal Mail £11.7m over "serious breaches" of its licence obligations to protect the mail and deliver it on time. Launched in 2004, the Postcomm review found that important features of Royal Mail's procedures were not being applied across the business.
17 November 2005
Royal Mail profits boosted by parcels
Royal Mail has reported a rise in profits, despite a seeing a fall in earnings in its letter business. The group reported a 20.5% increase in operating profit to £159 million for the first half of 2005/06 – a £27 million improvement on the same period the previous year.
Royal Mail profits boosted by parcels
Royal Mail has reported a rise in profits, despite a seeing a fall in earnings in its letter business. The group reported a 20.5% increase in operating profit to £159 million for the first half of 2005/06 – a £27 million improvement on the same period the previous year.
27 February 2004
Royal Mail puts in 'poor' performance
The Royal Mail has performed poorly and is "unlikely" to meet any of the 15 minimum performance targets set out in its licence, according to the mail watchdog Postwatch. Postwatch said that Royal Mail’s third quarter performance was badly affected by unofficial industrial action, and would not meet its targets.
Royal Mail puts in 'poor' performance
The Royal Mail has performed poorly and is "unlikely" to meet any of the 15 minimum performance targets set out in its licence, according to the mail watchdog Postwatch. Postwatch said that Royal Mail’s third quarter performance was badly affected by unofficial industrial action, and would not meet its targets.
18 November 2004
Royal Mail finances show massive turnaround
The Royal Mail has achieved a precise turnaround in its financial fortunes, instead of losing £1 million a day, it is now earning £1 million a day, according to its latest figures.
Royal Mail finances show massive turnaround
The Royal Mail has achieved a precise turnaround in its financial fortunes, instead of losing £1 million a day, it is now earning £1 million a day, according to its latest figures.
12 December 2003
3,000 managers to go at Royal Mail
Up to 3,000 "non-operational managers" are expected to leave Royal Mail under a voluntary redundancy programme launched by the company today. All of the job losses will be part of the 30,000 jobs which Royal Mail has already announced will be made redundant during the company’s "three-year turnaround plan".
3,000 managers to go at Royal Mail
Up to 3,000 "non-operational managers" are expected to leave Royal Mail under a voluntary redundancy programme launched by the company today. All of the job losses will be part of the 30,000 jobs which Royal Mail has already announced will be made redundant during the company’s "three-year turnaround plan".
-
Northern Ireland WeatherToday:A showery start with outbreaks most frequent north of Lough Neagh and through the morning, before dwindling during the afternoon as the northwest breezes ease and brighter spells of weak sunshine prosper. Maximum temperature 8 °C.Tonight:A dry night, save for a few light showers around the coasts, with prolonged clear spells and light winds bringing a frosty dawn for many in central and southern parts. Minimum temperature -3 °C.
