“A national postal strike defies logic,” comments the business secretary. “It would be a suicidal act – turning more hard-pressed consumers and businesses away from using mail.
“The government has backed Royal Mail financially with billions of pounds so that the company can modernise – but these strikes will impede that essential process,” he continues. “We remain in close contact with the Union and Royal Mail management and our message is clear – strikes are not the way to resolve differences or safeguard the future of our postal services.”
At Real Business, the name “Royal Mail” is mud. Our magazine is produced by Caspian Publishing, a small, fast-growth business set up in 1996. As with all entrepreneurial companies, any industrial action hits us hard. Payments and orders are not being received, invoices are being held up in the post, and payment terms are having to be extended. That impacts cash flow. In a recession, that can tip the scales in the wrong direction for an SME.
Phil McCabe at the Forum of Private Business says the disruption experienced by small businesses during the regional strikes will be increased tenfold by nationwide action. “Small businesses rely on the postal service more than large companies. This strike will inevitably cause major internal delays and further damage to trade.”How are the strikes affecting your business? Will this open the door to Royal Mail’s competitors? Post a comment below and let us know your views.
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