MR ADAM CROZIER
Dear Mr Crozier
Below I have outlined the position that the Royal Post finds itself in since you have taken over as Chief Executive:
1. Royal Mail has just faced the worst strike for 20 years.
2. A back log of 200 million letters and parcels.
3. The loss of 45,000 jobs
4. Closure of 4500 post offices
5. 2500 further closures to follow
6. Despite a virtual monopoly, Royal Mail has experienced a 33% drop in profits
I am therefore in a position to offer you the following remuneration package:
1. A 26% pay rise
2. Package total of £1.25 million
3. A performance bonus of £469,000
4. A pensions bonus of £158,000
5. A pay increase ten times the amount you gave other staff.
Further I am able to offer other directors, particularly those involved directly with the protracted strike, the following:
1. Bonuses totalling £1.5 million
2. A 50% increase on last years amount
Mr Alan Cook, Managing Director, will receive the following amounts before he begins his next programme of closures:
1. £165,000 bonus on top of his £265,000 salary
I have timed this announcement to coincide with the 2.9% pay rise that all other workers will receive. As they hear this news, there ballot papaers on our latest offer will land on their doorsteps.
Best wishes for the coming year, and I hope you can once again deliver such levels of success.
Mr Allan Leighton
Royal Mail Chairman