HUNDREDS of Watford postal workers could lose their jobs after record losses were revealed by Consignia on Thursday, June 13.

The company has announced a "radical restructuring plan" which includes axing 17,000 jobs nationwide following losses of £1.1 billion for the latest financial year.

Delivery staff will suffer the brunt of major cutbacks as the postal group moves to a single delivery six days a week, just months after it unveiled 13,000 job cuts elsewhere in the company.

Condemning the new plan as "ludicrous", Mr Alan Walsh, secretary of the Watford branch of the Communication Workers Union, predicted employees would strike.

He said: "In the Watford area we have got approximately 500 delivery workers so we could quite possibly lose a few hundred of those.

"Job security is a major worry for them.

"A strike is a strong possibility."

Staff who lose their jobs will be offered voluntary redundancy packages or redeployment elsewhere over the next three years, according to Consignia.

In an embarrassing backtrack, the company said it would drop its controversial name, which was adopted 15 months ago, and revert to Royal Mail.

This U-turn will cost the company an estimated £1.5 million.

The second post system is to go in a move hoped to save the firm £350 million a year.

It was also revealed that 3,000 sub-postmasters across the country were interested in accepting an offer of compensation to close their offices.

Consignia chairman Allan Leighton admitted the company was "haemorrhaging" cash and riddled with discontent.

He said: "Instead of a well-paid, highly-motivated workforce and an efficient operation, we have low-paid employees, high operating costs and low morale."

June 17, 2002 11:00