By Ahmed Asif
The Scottish government handed Royal Mail a killer blow after handing rival company TNT a multi-million pound contract to deliver second class mail.
Royal Mail which is has been hit with a wave of criticism from every corner after deciding to call a strike after fears that hundreds of full time jobs would be cut and instead many part-time jobs would replace it and also about working conditions and pay. The strikes planned for the 22nd and 23rd of October would cause massive disruption to delivery service nationwide.
However the Scottish government decided to offer the £8m contract to TNT stating that this deal would save the public just under £3m each year. However many would see this as the latest saga surrounding Royal Mail’s decision to strike. Many companies such as Ebay are are already pondering on the possibility of switching from Royal Mail to a private firm in order to keep their services full functional and customers happy. Royal Mail are playing a dangerous game with the high possibility of losing contracts worth millions if they do not call off the strike.
Pat McFadden the Business Minister stated “The most fundamental challenge to Royal Mail is not competition from other mail companies – it’s competition from other communication technologies and that must lie at the heart of the response to this dispute.”
A Royal Mail spokesman said: “Royal Mail submitted as competitive a bid as possible for the contracts being tendered.
“We are fighting hard to retain every letter we possibly can but we operate in a commercial market in which we are facing increasingly fierce competition.
“That is why we urgently need to modernise our operations so we can compete and win business such as this.”
Workers voted with a huge majority for a nationwide strike against Royal Mail over working conditions, pay and huge reform plans.