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Stakeholder conflict in the battle over Royal Mail
20th June 2013
This is a long running story, in which Royal Mail is (probably) preparing to leave the public sector and become a private company - a process known as privatisation. Recently, rising profits at the business had made its privatisation seem more likely, but Royal Mail workers have just voted overwhelmingly against the government's controversial plan to sell off the 497-year-old postal service.
According to The Guardian, more than 96% of postal workers who voted opposed the privatisation despite the government promising them each about £1,500 in shares as part of the flotation plan. The general secretary of the Communication Workers Union (CWU) said: "No one has yet asked postal workers what they think about privatisation. Today postal workers have spoken loud and clear. The workforce does not support the government or Royal Mail on selling the company. This company is flourishing in public ownership as the recent doubling of profits proves."
Royal Mail workers also voted nine-to-one in favour of refusing to deliver competitors' mail. That move is being challenged in the courts, since "Royal Mail is required by law to allow access to our network and deliver all the mail we are asked to," according to a Royal Mail spokesman.
The consultative ballot on the future of the business is likely to lead to a vote on strike action, which could severely damage the government's chances of securing a successful sale.
A clear case of stakeholder conflict for you to investigate, with very good arguments on both sides of the debate.