At the end of last year, we signed a new mails distribution agreement with Royal Mail – widely known as MDA2.
Today I would like to announce two key improvements to your remuneration following extensive consultation with you.
- First, we are putting in place extended transitional protection to end March 2023. This guarantees that for the next 18 months your remuneration will be at least the same, if not better, than you would have received under the current (MDA1) rates for the same product sales.
- Second, we are improving the remuneration rates for Special Delivery and Parcelforce from our original proposals, adding a penny for each pound of sales for both Special Delivery and Parcelforce products. These were the product lines most frequently raised as a concern in the consultation.
You have spoken very clearly about what matters to you and that has directly contributed to these changes. Our shared priority is to improve Postmaster profitability.
I have recorded a short video here that goes into a little more detail.
We will also provide a new three-month tracking report that shows what the increased rates for Special Delivery and Parcelforce would mean for May, June and July 2021 trading.
Your Area Managers will also have a copy of that information and will be available to discuss what that means for you.
Thank you again for taking the time to feed into the consultation.
Finally, please do join us for the Postmaster conference on the evening of Thursday 7 October that you can join virtually. Click here to register your attendance.