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Crunch looms over NFC merger talks

14th December 1985
Page 5
Page 5, 14th December 1985 — Crunch looms over NFC merger talks
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Which of the following most accurately describes the problem?

NEGOTIATIONS over the planned merger of the National Freight Consortium's loss-making parcels subsidiaries, Roadline UK and National Carriers Parcels, th r ea ten to become deadlocked over three demands laid down by NFC.

In the year to October 1984, the two companies lost C8.2 million and a similar, if not greater figure is thought to have been made in the 1984/85 financial year.

The NFC, Parcels management team, led by managing director Bill Collins, laid down 12 conditions it wanted met by the Transport and General Workers Union and the N,Itional Union of Rail

waymen before going ahead with the merger with losses of -several hundred" jobs.

Management is demanding a freeze in wages for the Roadline workforce, whose TGWU members have already submitted a claim for an extra 8 per week, and propose to raise NCP workers' wages only by enough to catch up with their Roadline colleagues.

They also want to replace full-time loading bank staff by part-time labour paid at a four-hour rate, and the introduction of agency drivers.

The management side insists that the three conditions are vital if it is to restore the parcels business to profit

ability in the face of ever strengthening competition from other carriers and denies that they are a negotiating

But TGWU officer John Moore has told NFC that his negotiators will only agree to discuss the merger of the two companies if management drops these conditions.

The employment of agency drivers is contrary to the TGWU's policy at present, and the union fears that an agreement to accept part-time labour in the parcels group will lead to similar moves at other NFC', companies.

But the strongest resistance is expected over the wage freeze proposal.


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