New Coalition Launches campaign for ‘Post Bank’

A comprehensive proposal for a new ‘Post Bank’ to run as part of the Post Office Network is launched today (Tuesday 17 March) by a new coalition of trade unions, a business organisation, pensioner and pressure groups and charities.

The proposal for the Post Bank will be formally launched at a Parliamentary reception hosted by Jon Cruddas MP this afternoon, with cross-party speakers including Pat McFadden, Minister for Employment and Post Offices, Vince Cable, Deputy Leader of the Liberal Democrats, and Phillip Blond, Director of the Progressive Conservatism project at Demos.

The model for a Post Bank proposed by the coalition would:

• provide more financial services to people and businesses currently not served by high street lenders,
• strengthen the role of post offices and the Post Office Network – making it more viable, creating new job opportunities, and securing its role for the future,
• ensure a stable source of finance in the heart of communities, particularly for the three million people still not using banks and the many small businesses looking for alternative sources of finance,
• link the productive economy with finance through a return to the form of ‘relationship banking’ abandoned by our biggest banks.

The Post Office and its network of 11,500 branches (almost twice the number of the major high street banks combined) is a unique national resource which communities, businesses and individuals around the UK depend on. The Post Bank coalition believes there is a unique opportunity to answer both concerns around secure and equitable finance and the future of the post office network by setting up a Post Bank.

Evidence from the coalition members demonstrates the clear need for a local banking infrastructure through a Post Bank:

• Around three million people are still denied access to basic finance in the UK, including the most disadvantaged, pensioners and those in very remote rural areas,
• The dynamic small businesses that pound for pound create more jobs than big business, are experiencing an increase in the cost of new credit through the high street banks and many are looking for alternative sources of finance to help them through the recession,
• Two out of five small firms think that a Post Bank built on the Post Office Network is a good idea and would consider banking with it.

The Post Bank – which would be established with government funding, supported for example, by the issue of local bonds, would offer a variety of finance services through post office branches and online – would address these key concerns. Instead of using government money to service existing bad debt, the Post Bank would provide stable finance where it is needed most, in the heart of our local economies.
The government must now seize this opportunity and build on the foundations of the post office network to create a Post Bank that works for the people and businesses of the UK.

QUOTES

Billy Hayes, CWU general secretary, said:
“The Post Bank is the right proposal at the right time politically and industrially. It answers the needs of the financially excluded and will appeal to many in this time of economic uncertainty. The Post bank will be a true People’s Bank meeting the needs of society and business alike and will bring crucial security to the post office network. The government must move swiftly to endorse this timely proposal.”

John Wright, National Chairman of the Federation of Small Businesses said: “Small businesses are completely reliant on the Post Office network with 80 per cent passing their letters and parcels through the Post Office and 47 per cent visiting a post office a couple of times each week. Most Sub Post Offices are run like small businesses, and keeping the network alive by establishing Post Bank would not only retain jobs but could also, we estimate, create 11,000 new jobs.”

Lindsay Mackie, campaign co-ordinator at nef (the new economics foundation) said: “The Post Bank Coalition proves that the idea of a trusted, fair and accessible bank based on the valued Post Office network has wide support across British society. We think that our proposal is an example of the radical re-thinking of our financial institutions that the Government should be working on urgently. In fact, the failure to do so would leave local communities, local economies and the thousands of small businesses that are the lifeblood of UK plc, very vulnerable”

Paul Reuter, Unite national officer, said: "Unite welcomes the valuable work of the Post Bank Coalition.  There is clearly an appetite for a banking network that would reverse the trend of exclusion of local communities and improve services to small businesses, whilst at the same time supporting and maintaining the Post Office network. The experience of other established Post Banks in Europe are successful examples.  The Post Bank - at the People's Post Office offers an opportunity for social inclusion, security and innovation in the banking sector which Government must endorse."

Frank Cooper, President, National Pensioners Convention, said: "The Post Office network provides an everyday lifeline to millions of older people, many of whom rely on the services it offers and its valued place in local communities. Recently pensioners have lost faith in the financial sector and the launch of a new, People's Bank at the Post Office will offer some much needed security to those who feel their money is currently under threat."

Tim Holmes, PIRC said: “The Post Office has long provided the public with a face-to-face means of investing their money securely, in Government-backed pension funds and bonds. It also offers the perfect means of leveraging investment for a new, renewable and sustainable energy infrastructure at this critical time. PIRC fully supports the goals of the Post Bank Coalition, which will be essential in providing local communities and small businesses with the financial security they so urgently require."

-ENDS-

For more information, please contact:

• Sian Jones, Communication Workers Union press officer: t: 020 8971 7267   m: 07793 314 249   e: sbjones@cwu.org
• Sophie Kummer, Federation of Small Businesses senior press officer: t: 020 7592 8128   m: 07917 628 998   e: sophie.kummer@fsb.org.uk
• Ruth Potts, nef Communications Manager: t: 020 7820 6357  m: 07749 026 203 e: ruth.potts@neweconomics.org
• Neil Duncan-Jordan, National Pensioners Convention press officer: m: 07940 357608   e: nduncanjordan@ntlworld.com
• Ciaran Naidoo, Unite press officer: m: 07768 931 315   e: ciaran.naidoo@unitetheunion.com

NOTES TO EDITORS:

1. The Post Bank coalition is made up of the Communication Workers Union, Federation of Small Businesses, National Pensioners Convention, new economics foundation, public interest research council, Unite the Union, with other observer and supporting organisations.
2. In a recent survey of around 5,000 small businesses, the Federation of Small Businesses found that two out of five small firms thought a Post Bank built on the Post Office Network was a good idea and they would consider banking with it.
3. In a recent public opinion telephone survey of 1,000 people, the CWU found that the post office is a trusted institution with 93% saying that they trusted it (69% really trusting it). This compares to only 54% trusting banks.
4. Around three million people do not have access to basic banking in the UK, and banking services are not taken up by many of the most disadvantaged, the elderly and those in very remote rural areas.
5. The value of the Post Office Network: Research by nef (the new economics foundation) has quantified the value of post offices to local economies and small businesses. nef research showed that:

• For every £10 earned in income, the post office generates £16.20 for its local economy – including £6.20 in direct spending on local goods and services.
• In addition, nef’s analysis of post offices in the Manchester area revealed that each post office saves small businesses in their direct vicinity in the region of £270,000 each year.

COMMUNICATION WORKERS UNION

Eastern Territory     Pay Bulletin No 24

Your Pay – Your Future

ALAN COOK BELIEVES THAT PO’S AND DBM’S WORKING IN THE CROWN OFFICES WILL ACCEPT A PAY FREEZE AND DON’T MIND LOSING THEIR SATURDAY PREMIUM

At a time when POL claim that they cannot afford to offer consolidated pay increases for DBM’s and PO’s, and want to take away Saturday Premium their accounts give details of the money that Alan Cook received.

Alan Cook
Salary = £255k
Performance bonus = £165k with £93k of this being placed into a LTIP (Long Term Incentive Plan)
Misc benefits = £19k
Supplement in lieu of pension = £100k cash!
This was augmented by a further £212000 paid into his long-term incentive plan, raising his total awards under the scheme to £305000, which will pay out in 2008 if three-year financial targets are met.
This year Alan Cook has received a total £651000 in pay, bonuses and money in lieu of a pension.
Royal Mail’s Group’s accounts for the year to March 25 show that directors’ pay, benefits and bonuses had risen from £4.3m to £7.3m, after the addition of large sums to incentive schemes.

Alan Cook said that “our people are more important than ever, as it’s down to them to ensure we have the power to deliver on our promises.”  If that’s the case why penalise loyal long term staff with a pay freeze.

If you have any questions or comments about the Pay Offer then please contact us on the numbers/e-mail shown below.  Alternatively – please e-mail Andy Furey - polpay2007@cwu.org

Remember all the progress and improvements in the pay offer that we have made so far has only been because of the members who supported the strike action.

WE MUST STAND FIRM AND DEFEND THESE SAVAGE ATTACKS FROM THE EMPLOYER

YOU HAVE ALREADY MADE A DIFFERENCE AND YOU
CAN MAKE MORE OF A DIFFERENCE

Territorial Counters Representatives (TCR’s) – Eastern Territory:-
Huw Davies – 07710954955    Graham Henson – 07721 509916    Geoff Poole – 07710488320
          huwdavies@ukf.net                   gdhenson@btopenworld.com           geoffrey.poole@btopenworld.com

POL Crown Offices – Demonstration

In view of the proposed franchising, by POL, of 85 Crown Offices, 70 of which to WH Smith and, thirteen of which are in the Greater London area, a demonstration has been organised in conjunction with the National Pensioners Convention - London. We need to ensure a good turnout for the event details of which are

12 noon, Wednesday 7th November

Outside Trafalgar Square Crown Post Office (Charing Cross)

Suitable publicity has been arranged for the event in conjunction with the Communications Department and a press release will be issued. Leaflets to hand to the public will also be made available at the event.

POL : SUPPLY CHAIN PAY AGREEMENT

The main features of the agreement are as follows

• PAs pay increased by £25 per week from 1st Oct 07 providing a pay rise of 8.62%

• POs / LAs salary increased by £1300 per annum from 1st Oct 07 providing pay rises of 6.88% / 6.73% respectively.

• Crew pay to be increased initially by £24 per week from 1st Oct 07 providing a pay rise of 6.11% with a further increase of £3 per week from 1st April 08 providing a total pay rise of £27 per week, equivalent to 6.87%

• LGV Drivers pay, including the allowance, to be increased by £35 per week from 1st Oct 07 providing a pay rise of 8.29% with a further increase of £5 per week from 1st April 08 providing a total pay rise of £40 per week, equivalent to 9.48%

• A one hour reduction in the working week from 7th Jan 08 as follows

• All crew – 37 hours net reduced to 36 hours net
• PAs / POs / LAs (outside London ) 36 hours net reduced to 35 hours net

NOTE:   Currently, PAs / POs / LAs based in London work 35 hours net.

• Crew and LGV Night Workers Night Duty Allowance, where all 36 hours fall within the 19:00 / 07:15 NDA period, to be consolidated into basic pensionable pay from 7th Jan 08 providing for increased hourly pay rates and Scheduled Attendance payments of 33.99% and 37.25% respectively.

• London Weighting to be increased for all grades from 1st July 07 to achieve parity with the Royal Mail rates, inclusive of the phased increases also applied in the Royal Mail Agreement of 5.4% from 1st Oct 07 and a further 1.5% from 1st April 08, providing the following overall increases:

• 23.74% for Inner London
• 35.73% for Outer London

• Defined Area Pay of £38.23 per week to be introduced for Crew grades from 1st April 08 in Hemel Hempstead only (this resolves the anomaly whereby Royal Mail grades are currently paid a Defined Area Payment and Supply Chain Crew grades were not).

• The Midway House Sunday Allowance will be increased for the 8 PAs in receipt of this allowance by the overall value of 23.82% by changing this allowance to be based upon 0.67% of the hourly pay rate.  This has the potential of providing an additional increase of £250 per annum for each individual.

• Scheduled Attendance rates for Crew will be increased overall by 9.84% by virtue of the combination of the pay rises and the introduction of the one hour reduction in the working week.  This will provide for the following rates from 1st April 08:

• Week day - £11.67 per hour
• Saturday and Sunday - £15.17 per hour

• All other allowances (other than hours related) will be increased by 6.2% from 1st Oct 07.  This includes the following allowances:

• Self Managed Unit
• Supervisory
• Call Out
• Defined Area Pay

• A new national productivity scheme with equal payments for all grades, based upon 50% of any cash savings above the staff cash budget, providing for two payments per year in November and May. 

The table below provides a summary of the agreed pay increases effective from 1st April 2008.

Tank Rolls in to Defend Greenwich Crown Post Office

Campaigners opposed to the sell-off of Greenwich Crown Post Office wheeled out their big guns today.


At 11am (Monday, July 12) a 16-ton tank rolled into position in front of the Greenwich High Road office as the centrepiece of a demonstration against Post Office plans to franchise the service.
The street-legal armoured vehicle  (an ex-British army Abbot FV433 self propelled gun, for all you tank-spotters out there) was decorated with banners urging customers to “Defend Greenwich Crown Post Office.”

The Communication Workers Union's Mole Meade , who represents staff in the office, said: “Hiring a tank to defend the office may seem a bit over-the-top but the point is that the Post Office should not underestimate the strength of opposition to the privatisation of this office.”

Ten directly-managed Crown/branch post offices have been closed or franchised in London in the last two years with more than 80 jobs lost or transferred. The Post Office is a publicly-funded business and must allow a period of public consultation before closing or franchising a post office.

“The decision to downgrade Greenwich is a knee-jerk reaction to the Post Office's current financial situation,” said Mole. ‘This office currently employs 10 counter clerks with more than 100 years combined experience. None of them wish to leave the business or relocate to different offices.

“The CWU has been working with local communities fighting the closure of Crown post offices around London for more than five years now and we have found the consultation process to be an utter sham. We have attended packed public meetings, taken part in letter writing campaigns and petitions, enlisted the support of MPs and councillors, all to no avail.

“The tank symbolises the strength of opposition to the privatisation of post office services here in Greenwich.”

CWU national officer Andy Furey said:
“The Post Office enjoys an unrivalled reputation in the UK, both as a public service and a focal point for communities.
The union is fighting to preserve the reputation of the service and its rightful place in the affections of the British people. That's why we resist these closures. It's sobering to think that doing this brings us into conflict with our employer, but, sadly, that is the case."
Greenwich Crown Post Office is sited in the midst of major tourist attractions, close to both overland rail and docklands rail links.  Greenwich is undergoing massive redevelopment involving new local housing, a huge hotel complex and the regeneration of the town centre. The staff — most of whom live locally — have unique local knowledge and the respect and trust of both local businesses and the community. Many of the traders fear that the loss of the Crown Office will impact badly on their businesses.
Local trader and chairman of the Friends of Greenwich Crown post office, Mick Gebbett , said: “The staff at Greenwich High Street are friendly and really know what they are doing. It's is a big office. I don't see why they can't expand the service rather than getting rid of it. You see lots of post offices tucked away in dingy corners of newsagents or mini markets but we don't want that to happen here.

“This area is developing rapidly. The Post Office should be thinking about ways of expanding the service at Greenwich instead of dreaming up ways of flogging it off or shutting it down.”

Greenwich Crown Post Office is at 261/7 Greenwich High Road near Greenwich station (Connex trains)

GRIEVANCE PROCEDURES
grievance.PDF

Meal Reliefs
MealReliefs.PDF

Attendance Credits Agreement
AttendanceCredits.PDF