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Thursday, 2 May, 2002, 16:18 GMT 17:18 UK
Postal strike called off
Post box
There's been no nationwide postal strike in the UK since 1996
The threat of a nationwide postal strike in the UK next week has been lifted, reports say.

Workers had planned to walk out on 8 May for 24 hours in what would have been the first nationwide strike by postal workers since 1996.

But the dispute, over pay, was resolved after talks at the conciliation service Acas, said the Communication Workers Union.

"We are delighted at the outcome of the mediation process," said John Keggie, CWU deputy general secretary.

"It has been a long and difficult set of discussions."

Consignia, the renamed UK post office, lost 1.5m a day during the six months to November last year and announced 15,000 job cuts in March as part of a three year plan to restructure the business.

Falling revenue

There were no immediate details on the deal to resolve the pay dispute.

Consignia had earlier offered a 6.9% pay rise but the CWU had argued 2.2% of the offer covered agreement over changes to delivery patterns, and wanted this element separated from any pay rise.

Consignia has been hit by falling revenue due to increased use of e-mail and by the end of its monopoly on postal delivery services in the UK.

The company is lobbying the postal regulator Postcomm to water down plans to liberalise the letters delivery market.

See also:

24 Apr 02 | Business
Postal workers warn of strike
24 Apr 02 | Business
Q&A: The postal dispute
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