IDS TAKEOVER UPDATE

Branches will be aware that it was reported yesterday that Daniel Kretinsky, via his investment groups, as expected has now formally made a bid for the ownership of Royal Mail. The board has accepted this offer and we now expect EP Group to seek agreement from the IDS shareholders.

It is understood that any takeover will be investigated by the government, under the National Security and Investment Act, as Royal Mail is part of the UK’s critical infrastructure. However, the recently announced general election, set to take place on the 4th of July, means there may be some delay to this investigation.

Daniel Kretinsky has given the company and the government assurances regarding some aspects of Royal Mail’s operation. The published assurances, as part of the contractual obligations, do not go far enough for the union and our members. We will be meeting with Vesa Equity next week to seek extensive assurances, including his plans for investment in the workforce, the operation and future growth for the company, as well as the full terms of our CWU Conference policy.

We would anticipate this being part of an ongoing process throughout the takeover and will keep members updated as frequently as possible. In addition to ongoing discussions with the Labour Party on this issue, we will be contacting the new government minister about any investigations as soon as a new government is formed.

Please see the attached statement from Royal Mail and Kretinsky on details of the takeover bid. Over the coming days, we will be scrutinising this document and taking the necessary steps to make our views heard. We will soon call a national briefing to update you on this issue.

 

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