A Royal Mail for the 21st century: CWU calls for government intervention

# The situation now Royal Mail is publicly acknowledged to be in a troubled state. Recent government comments and a Business and Trade Select Committee report in May describe service quality as unacceptable. More than 100 MPs have demanded serious action after repeated missed delivery targets. Frontline postal workers report understaffing, exhaustion and frustration with management that does not always confront core workplace problems.

# What the CWU is proposing Union (CWU) has set out a series of concrete demands to the Labour government at this year's Labour conference.

• New regulatory framework: Replace the current approach with regulation that forces investment, improves service quality and upholds employment standards. The CWU says Ofcom has not overseen Royal Mail effectively and should be reviewed.
• Employment status reform: Introduce a single employment status for delivery workers to end bogus self-employment and reduce precarious work in the parcel market.
• Sectoral collective bargaining: Create mechanisms to raise baseline standards across the deliveries sector so companies compete on quality and pay, not on casualisation.
• Governance and ownership change: Build a new governance model for Royal Mail that expands on the government's golden share, allowing public control, oversight and new investment options.

# Why these changes are being urged Mail as more than a parcel courier: it has nationwide infrastructure and a workforce tied to public service. The union argues that casualised competitors in the parcel market operate with weaker standards and tax contributions, creating an uneven playing field that undermines Royal Mail's ability to deliver for communities while maintaining better working conditions.

The union highlights three linked problems:

• Operational capacity: Understaffing and resourcing shortfalls are impairing daily delivery performance.
• Market distortion: Widespread bogus self-employment and precarious contracts in the parcel market reduce costs for some firms and lower overall sector standards.
• Regulatory shortfall: Current oversight has not compelled Royal Mail or the market to maintain acceptable universal service standards.

# What the CWU wants the government to do now The union asks Labour ministers to implement the Select Committee recommendations and take immediate steps to reshape policy and oversight:

• Commission a review of Ofcom's role in postal regulation and design a regulatory framework that enshrines investment and service targets.
• Consider statutory changes to create a single employment status for delivery workers and enable sector-wide bargaining arrangements.
• Develop a new governance and ownership model for Royal Mail that allows public control, oversight and targeted investment, and explores revenue diversification to support sustainable operations.

# Practical implications if enacted If these proposals proceed, expect:

• Short-term costs to the public purse or Royal Mail balance sheet as investment and employment protections are strengthened.
• Potential levelling-up of standards across the parcels market, which could change pricing and contractor models for major delivery firms.
• Increased public scrutiny and political oversight of Royal Mail's operations and strategic decisions.

# Where the debate stands Labour party members and the conference as it seeks political commitment. Recent goodwill between new Royal Mail management and the CWU is acknowledged, but the union views current reforms as insufficient without structural and regulatory change. The union frames this as safeguarding a public service and the workers who deliver it.