Edited highlights from an LRB article:

‘Figures are down,’ we chortle mirthlessly, as we load the third batch of door-to-door catalogues onto our frames, adding yet more weight to our bags, and more minutes of unpaid overtime to our clock. We get paid 1.67 pence per item of unaddressed mail, an amount that hasn’t changed in ten years. It is paid separately from our wages, and we can’t claim overtime if we run past our normal hours because of these items. We also can’t refuse to deliver them. This junk mail is one of the Royal Mail’s most profitable sidelines and my personal contribution to global warming: straight through the letterbox and into the bin.

[…]

One thing you probably don’t know, for instance, is that the Royal Mail is already part-privatised […] It means that any private mail company – or, indeed, any of the state-owned, subsidised European mail companies – is able to bid for Royal Mail contracts.

Take a look at your letters next time you pick them up from the doormat. Look at the right-hand corner, the place where the Queen’s head used to be. You’ll see a variety of different franks, representing a number of different mail companies. There’s TNT, UK Mail, Citypost and a number of others. What these companies do is to bid for the profitable bulk mail and city-to-city trade of large corporations, undercutting the Royal Mail, and then have the Royal Mail deliver it for them. TNT has the very lucrative BT contract, for instance. TNT picks up all BT’s mail from its main offices, sorts it into individual walks according to information supplied by the Royal Mail, scoots it to the mail centres in bulk, where it is then sorted again and handed over to us to deliver. Royal Mail does the work. TNT takes the profit.

None of these companies has a universal delivery obligation, unlike the Royal Mail. In fact they have no delivery obligation at all. They aren’t rival mail companies in a free market, as the propaganda would have you believe. None of them delivers any mail. All they do is ride on the back of the system created and developed by the Royal Mail, and extract profit from it. The process is called ‘downstream access’. Downstream access means that private mail companies have access to any point in the Royal Mail delivery network which will yield a profit, after which they will leave the poor old postman to carry the mail to your door.

[…]

The truth is that the figures aren’t down at all. We have proof of this. The Royal Mail have been fiddling the figures. This is how it is being done.

Mail is delivered to the offices in grey boxes. These are a standard size, big enough to carry a few hundred letters. In the past, the volume of mail was estimated by weighing the boxes. These days it is done by averages. There is an estimate for the number of letters that each box contains, decided on by national agreement between the management and the union. That number is 208. This is how the volume of mail passing through each office is worked out: 208 letters per box times the number of boxes. However, within the last year Royal Mail has arbitrarily, and without consultation, reduced the estimate for the number of letters in each box. It was 208: now they say it is 150.

Doubting the accuracy of these numbers, the union ordered a random manual count to be undertaken over a two-week period in a number of offices across the region. On average, those boxes which the Royal Mail claims contain only 150 letters, actually carry 267 items of mail. The figures are down all right, but only because they have been manipulated.

Source: http://www.lrb.co.uk/v31/n18/roy-mayall/diary

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