Oral Answers to Questions

Debate between Margot James and Mohammad Yasin

Tuesday 12th December 2017 Commons Chamber

[Mohammad Yasin (Bedford) (Lab)]

13. What assessment he has made of the effect of the privatisation of Royal Mail on employment standards in the postal industry.

[The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Margot James)]

Almost all Royal Mail’s 142,000 staff are on permanent contracts and earn above the living wage. Employees own 12% of its shares, and it has been a Times top-50 employer for women for four consecutive years. The Government will protect workers’ rights, ensuring they keep pace with the changing labour market.

--- Later in debate ---

[Margot James]

I certainly would not, Mr Speaker.

[Mohammad Yasin]

In the privatised Royal Mail, 500 jobs have been lost while, at the same time, it has dished out close to £700 million in dividends to private shareholders. Is this a record of privatisation the Minister is proud of?

[Margot James]

As I said earlier, Royal Mail contributes £400 million a year to the pension scheme and, since privatisation, has provided access to capital of £1.5 billion and converted losses of £49 million into profits of £700 million. I would say that that was a pretty successful record.