Future Of British Business
Royal Mail Threatens to Split If Unions Thwart Restructuring
- UK postal service losing £1 million a day as efficiency stalls
- International arm GLS is profitable and seeing sales gain
Royal Mail said sales tumbled at its main UK postal business in the first quarter .
Photographer: Chris Ratcliffe/BloombergThis article is for subscribers only.
Royal Mail Plc will consider splitting the main postal business from its more profitable international logistics unit if unions continue to frustrate efforts to reorganize the company’s UK operations.
The move is one option available to protect the group’s “value and prospects” as the British unit loses £1 million a day and efficiency improvements falter amid a clash over wages, Chairman Keith Williams said in a statement Wednesday.