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27/05/2002
Consignia reported to be close to insolvency
Despite a radical restructuring plan, UK postal services operator Consignia is thought to be close to insolvency.
Consignia has already proposed laying off up to 30,000 postal staff in a bid to break-even, but according to The Observer even this drastic measure would not guarantee the liquidity of the company unless it is underwritten by government.
Consignia recently unveiled a swingeing restructuring plan that aims to cut costs by £1.2 billion and get the company into the black by 2005.
However, the firm's profits announcement expected this month has been delayed until next month. Analysts expect the figures to reveal a loss of around £1 billion for the year.
It is believed that Consignia has dumped plans to sell off its 40,000-strong fleet of vehicles, a plan that would have raised up to £300 million, in favour of a strategy that will entail radical cutbacks in staffing levels and major savings on the payroll.
(SP)
Consignia has already proposed laying off up to 30,000 postal staff in a bid to break-even, but according to The Observer even this drastic measure would not guarantee the liquidity of the company unless it is underwritten by government.
Consignia recently unveiled a swingeing restructuring plan that aims to cut costs by £1.2 billion and get the company into the black by 2005.
However, the firm's profits announcement expected this month has been delayed until next month. Analysts expect the figures to reveal a loss of around £1 billion for the year.
It is believed that Consignia has dumped plans to sell off its 40,000-strong fleet of vehicles, a plan that would have raised up to £300 million, in favour of a strategy that will entail radical cutbacks in staffing levels and major savings on the payroll.
(SP)
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04 March 2002
Top Consignia directors decline 10 per cent pay hike
Two senior directors of postal company Consignia have decided not to accept a 10 per cent pay rise following anger among postal unions.
Top Consignia directors decline 10 per cent pay hike
Two senior directors of postal company Consignia have decided not to accept a 10 per cent pay rise following anger among postal unions.
14 June 2002
Binning of Consignia sparks call for all-island service
SDLP spokesperson on Employment, John Dallat MLA, has said the announcement by Consignia to cut 17,000 jobs UK wide was further evidence for the need to create an all-island postal service.
Binning of Consignia sparks call for all-island service
SDLP spokesperson on Employment, John Dallat MLA, has said the announcement by Consignia to cut 17,000 jobs UK wide was further evidence for the need to create an all-island postal service.
28 March 2002
Postal union vows to resist depot closures
The postal workers union CWU have said the closure of three Parcelforce depots announced by Consignia, the company formerly known as the Post Office, at the start of this week is “unacceptable”.
Postal union vows to resist depot closures
The postal workers union CWU have said the closure of three Parcelforce depots announced by Consignia, the company formerly known as the Post Office, at the start of this week is “unacceptable”.
03 May 2002
Consignia chief executive could be replaced
The Financial Times has reported that Consignia chief executive John Roberts will step down from his post as soon as the government appoints a suitable successor.
Consignia chief executive could be replaced
The Financial Times has reported that Consignia chief executive John Roberts will step down from his post as soon as the government appoints a suitable successor.
04 October 2001
Consignia could axe further jobs over ‘financial crisis’
Consignia, the firm that operates the Royal Mail services, could be about to cut hundreds more jobs in an attempt to avoid moving into the red. An internal memo has revealed that Consignia is to implement a strategic shake-up of operations to reduce costs by as much as £1 billion.
Consignia could axe further jobs over ‘financial crisis’
Consignia, the firm that operates the Royal Mail services, could be about to cut hundreds more jobs in an attempt to avoid moving into the red. An internal memo has revealed that Consignia is to implement a strategic shake-up of operations to reduce costs by as much as £1 billion.
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