Union: Plans based 'overwhelmingly on cost-cutting'

The Post Office's transformation plan is based "overwhelmingly on cost-cutting", the Communication Workers Union said. It claimed:

• Plans rely on staff cost cutting to account for more than half of all cost reductions
• Only 20% of the gap to break-even will come from new income
• Reliance on franchising is up by £2 million to £8 million compared to last September

• The management's pay offer of lump sums is conditional on reaching "unrealistic savings through closure of offices", many staff are likely to never receive the money on offer it said