Join the Socialist Party Join us today!

Printable version Printable version

Facebook   Twitter

Link to this page: http://www.socialistparty.org.uk/issue/949/25490

From The Socialist newspaper, 17 May 2017

Support Corbyn's call to renationalise Royal Mail

CWU strike 2009, photo Paul Mattsson

CWU strike 2009, photo Paul Mattsson   (Click to enlarge)

Carl Harper, CWU member (personal capacity)

Privatising Royal Mail was a privatisation too far for Margaret Thatcher. So how did it come to pass that 499 years of public ownership ended in 2015 with the remaining 30% of shares being floated on the London Stock Exchange, following the majority being sold two years earlier?

The Postal Services Act 2011, which paved the way for privatisation, was introduced by the Tory and Lib Dem Coalition.

The government claimed that selling off the public service would raise the necessary funds through private capital to 'modernise' the business. Then chancellor George Osbourne had committed to public sector spending cuts to meet his deficit-reduction targets, meaning that any necessary investment certainly wouldn't be provided by the state. The government rushed through a 3.3 billion firesale.

The 'creation' of a million private sector jobs in 'rebalancing the economy' which the government regularly boasted about, undoubtedly included the 170,000 Royal Mail employees who were shifted from the public to the private sector virtually overnight.

Opposition

As a Communication Workers Union (CWU) activist I remember being surprised and frustrated at how the union leadership was seemingly caught flat-footed by the sale. Only a "consultative ballot" was held, finding 96% of workers were opposed to the sale, joining 70% of the public. But not a single day of strike action was held to fight it.

The sale grossly defrauded the public. Royal Mail was valued at up to 10 billion by American bank JP Morgan - three times the eventual float figure. CitiBank valued it at 7.3 billion and Deutsche Bank between 6.4 and 6.9 billion.

The government decided to float the company on a share price of 330p. Within a week the share price had broken the 500p mark, an increase of nearly 50%, making the market valuation a whopping 1.7 billion higher than the government's sale price. The public has continued to be robbed of billions of pounds.

I'm therefore obviously delighted with Jeremy Corbyn's announcement that his Labour government would renationalise Royal Mail. The case is strong, has the support of the majority of the public and with the correct programme of development could prove to be hugely beneficial in the first steps towards a genuinely modernised telecommunications and postal industry. Royal Mail has always been, and will continue to be, profitable in public ownership.

Why not click here to join the Socialist Party, or click here to donate to the Socialist Party.


In The Socialist 17 May 2017:


Kick out the Tories! Corbyn can win

Kick out the Tories: For a Corbyn-led government

Tories out! Corbyn can win with socialist policies

Corbyn's manifesto: An important step in the right direction

TUSC confirms no candidates in June

Suprise rally with Jeremy Corbyn in Morley

Corbyn's alternative for young people

Corbyn could re-win Scotland with a socialist approach to independence


Socialist Party news and analysis

One in three borrow for rent, Corbyn pledges housing revolution

Tories escape election fraud charges

NHS cyberattack: budget cuts and spy agency to blame

31,000 more kids at risk of abuse or neglect


Socialist Party workplace news

PCS election: Increased majority for Democracy Alliance

Support Corbyn's call to renationalise Royal Mail

CWU walkout wins large concessions

Blackpool deserves better - anti-austerity rally

Unison must back Corbyn's pledge to abolish zero-hour contracts with action

Workplace news in brief


Socialist Party reports and campaigns

Socialist ideas are energising young people

Fund the fight against the Tories

Packed meeting sets out socialist policies needed to defeat the Tories


International socialist news and analysis

Palestinian prisoners on mass hunger strike protest

Brazil: General strike against Temer regime


Socialist Party comments and reviews

Barcelona May Days 1937 - a civil war within a civil war

Hull workers who fought in the Spanish Civil War

The Socialist inbox


 

Home   |   The Socialist 17 May 2017   |   Join the Socialist Party

Subscribe   |   Donate   |   Audio  |   PDF  |   ebook






Related links:

Royal Mail:

triangleRoyal Mail bosses block strike - back postal workers

triangleCWU fights court attempt to stop national strike

triangleSet for national strike action

triangleCWU strike ballot to win 'Four Pillars'

triangleEscalate summer strike wave into coordinated action to defeat the pay cap

Government:

triangleThe Socialist Inbox

triangleCarlisle socialists campaign against Universal Credit

triangleNo more excuses: fit sprinklers now!

triangleWe're freezing: reverse cuts to boiler replacement schemes!

Public ownership:

trianglePFI privateers dodge tax

triangleBoeing bust-up threatens thousands of skilled jobs

triangleBus safety: we won't be distracted from public ownership

Privatisation:

triangleCorbyn must challenge pro-gentrification council leader or others will

triangleHealth campaign discusses strategy to save NHS

CWU:

triangleUnite local government sector plans strike ballot

Labour:

triangleSocialism 2017: Organising to fight back

Economy:

trianglePowerful picture of the Port Talbot steel workers' struggle

Jeremy Corbyn:

triangleIs cuts-making Preston 'beating Tory austerity'?

Margaret Thatcher:

triangleWho's watching who?: The fight for justice, trade union and democratic rights

Public sector:

triangleBosses say 217 years to close pay gap - workers' struggle can close it now!

Reports and campaigns

Reports and campaigns

16/11/17

Sheffield

Sheffield Eastern Ave Job Centre strike ends

16/11/17

Virgin

Virgin train workers vote for strike action over pay

15/11/17

Students

March for free education! We demand a future!

15/11/17

Plymouth

Plymouth PCS members fight relocation threat

15/11/17

Virgin

Virgin train workers ballot for strike action

15/11/17

Carlisle

Carlisle socialists campaign against Universal Credit

15/11/17

Haringey

Corbyn must challenge pro-gentrification council leader or others will

15/11/17

Socialist Party

Why I joined the Socialist Party: "I started to question whether there was a better way"

13/11/17

Manchester

Strike wave continues with 49 walkout days by housing workers

10/11/17

RMT

Strikers picket the South Western Railway network

10/11/17

Merseyside

Huge support for strikes of bus drivers and train guards

10/11/17

Socialist Party

Highest ever ticket sales for Socialism event

9/11/17

Pay

Serco - not fit for purpose

9/11/17

Rail

Fight to keep guards on trains continues despite setback Aslef deal

8/11/17

Birmingham

Brum meeting celebrates centenary of 1917

triangleMore Reports and campaigns articles...


Join the Socialist Party
Subscribe to Socialist Party publications
Donate to the Socialist Party

triangle15 Nov March for free education! We demand a future!

triangle15 Nov Tories on the brink - kick them out!

Socialism 2017

triangle14 Nov Socialism 2017: Organising to fight back

triangle13 Nov Strike wave continues with 49 walkout days by housing workers

triangle10 Nov US: Historic vote for Ginger Jentzen campaign in Minneapolis

triangle10 Nov Strikers picket the South Western Railway network

triangle10 Nov Europe in crisis, revolutionary winds in Catalonia

More ...

triangle20 Nov Birmingham Central Socialist Party: How can socialists support upcoming strikes?

triangle21 Nov Cardiff Socialist Students: Socialism and the struggle for LGBT rights

triangle21 Nov Birmingham South East Socialist Party: NHS in Meltdown - What can be done?

triangle21 Nov Sheffield North Socialist Party: The causes of capitalist crisis

More ...

Socialist Party Facebook page
Socialist Party on Twitter
Visit us on Youtube

Archive

Archives:

November 2017

October 2017

September 2017

August 2017

July 2017

June 2017

May 2017

April 2017

March 2017

February 2017

January 2017

2016

2015

2014

2013

2012

2011

2010

2009

2008

2007

2006

2005

2004

2003

2002

2001

2000

1999

Legal

SP RSS feed RSS

Platform setting: = No platform choice

V2