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Postal outsourcing on track despite shake-up
Page 13
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• by Guy Sheppard Consignia, the company formerly known as the Post Office, says It is still on course to outsource its 44,000-vehicle fleet despite announcing a massive restructuring of Its business.
We are still consulting bidders but have no idea when negotiations will be concluded," says a spokesman.
Plans to outsource the fleet, which consists of 6,000 trucks, 35,000 vans and 3,900 cars were announced more than six months ago. The restructuring plan, announced in March, involves more than 40,000 Job losses and a reduction In the number of road Journeys by Royal Mall (CM 28 March-3 April).
Telecommunications giant BT is thought to be a front-runner to sign any deal with Consignia because of the potential synergies between their fleets (CM 18-24 October). Both companies were part of the Post Office before privatisation in the early 1980s.
The job losses will account for up to a quarter of the Consignia workforce. Although the company has agreed a framework with the Communication Workers Union to avoid compulsory redundancies, it may not be approved by the union's members.