Communication Workers Union Warns Royal Mail Faces Collapse

The Communication Workers Union (CWU) has warned that Royal Mail is on the brink of collapse, calling for an emergency summit between the government and company management to address a recruitment and retention crisis. The union reports that staff departures have risen to approximately 400 workers per week, up from 330 before the introduction of the DM26 delivery system. This new model reorganizes routes and groups workers into teams to improve efficiency, but the CWU argues it has created unmanageable workloads and systemic failures.

Royal Mail defends the reforms, stating the rollout is 90% complete across 1,200 delivery offices. The company claims the system increased daily address delivery rates from 88% to 95% and is essential for financial sustainability. To manage the upcoming Christmas peak, the company is hiring 22,000 temporary workers and implementing a £500 million quality-of-service investment plan.

Regulatory and government pressure continues to mount. Ofcom has fined Royal Mail over £37 million in three years for missing targets and has required a formal improvement plan. Postal Services Minister Kate Dearden described the plan as a step in the right direction but insisted it must deliver tangible results for customers. Meanwhile, Royal Mail has announced plans to cut 2,500 head office and support roles by 2027.