Royal Mail staff could get shares windfall in sell-off

Postal workers will automatically get free shares in the Royal Mail unless they opt out, ministers announced today.

Business Minister Michael Fallon said the aim was to give as many as possible a “real stake” in their employer.

Shares could be worth £2,000 each — but the Communication Workers’ Union said members were “deeply sceptical” that they would see it.

The union claimed Mr Fallon had timed the announcement to divide workers before a two-day conference starting tomorrow, when CWU officials will decide whether to hold a strike ballot over pay, jobs and other issues involved in any sell-off.

Mr Fallon said automatic enrolment would mean the maximum number of employees getting shares. “Postmen and postwomen are at the very heart of Royal Mail, making sure that post is delivered to all parts of the country, whatever the season,” he said. “They are absolutely central to the future of the company and so it’s important they share in its success.”

Experts say the sale is likely to value the business at £2 billion to £3 billion, suggesting up to 150,000 staff could together receive £200 million to £300 million in shares.

A union spokesman said members would not be bribed into accepting a privatisation that put jobs at risk. “They would rather have a decent pay rise and a guarantee of job security,” she said.

“People are not going to be bought off by the idea of shares.”

The Government is promising 10 per cent of any sale revenues will go to staff. Mr Fallon also promised no employee would have to give up rights in return for shares.