Royal Mail reveals staff bonus of up to £500 as half-year losses mount
More than 100,000 frontline workers at Royal Mail are in line for a bonus worth up to £500 each if they hit targets over Christmas as the group presses ahead with turnaround efforts in the face of mounting losses.
Royal Mail said the one-off payment will be made to staff at the start of the new year, based on whether they hit weekly quality targets over the peak season.
The move – which will cost Royal Mail around £61 million – comes as the new boss of owner International Distributions Services (IDS) is pushing on with an overhaul to address poor service performance and widening losses.
Earlier this week, Royal Mail was fined £5.6 million by regulator Ofcom for a “significant” failure to meet its postal delivery targets on first and second class mail in 2022-23.
IDS revealed on Thursday that Royal Mail tumbled deeper into the red with underlying losses of £319 million for the six months to September 24, against losses of £219 million a year earlier.
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It’s unbelievable. They claim to be making huge losses yet they can afford to pay out bonuses. No mention about how many millions will be awarded to bosses. Instead of upping their prices they need to lower them to be competitive with things like emails which are free. Increasing prices will only drive away customers. Look at how much money they could make delivering Christmas cards if the price was reasonable. Instead, people have reverted to delivering them by hand because a stamp costs more than the card! No brainer!! Yet the people in charge, who get paid huge salaries,… Read more »
Under the “free market economy” Tories, I suspect the aim is to drive RM bankrupt so that without its protected status, the private companies can move in and take over completely. (Like they did with public transport which as we all know is going swimmingly
I’m not going to complain about frontline workers getting a £500 bonus. “Bonuses” are just wage allowance held back and then presented as a performance “reward” to motivate the workforce.
Bonuses are a scam and workers (as opposed to upper management) are not well paid anyway