Royal Mail revenues slip as parent group IDS names new CEO
Royal Mail revenues fall as parent group IDS appoints new CEO
- Announcement continues downturn in results, which saw a loss of £1bn last year
- GLS CEO Martin Seidenberg announced as new group CEO
International Distribution Services, Royal Mail’s parent company, has appointed a new group CEO to ensure the mail reaches its ‘full potential’.
Britain’s Royal Mail saw first-quarter sales fall 4 percent year-on-year to £1.8 billion amid a weaker price mix and lower volumes of test kits.
IDS told investors Thursday it will focus on efficiency initiatives after that the 507-year-old postal service made a loss of £1 billion last year and suffered 18 days of industrial action.
This announcement continues the downturn in results, with the 507-year-old postal service suffering £1bn losses last year and 18 days of strikes by its postal staff
More than 115,000 staff walked out for 18 days between September and December in a bid to get better pay and improve working conditions.
The strikes caused chaos in delivery offices across the UK, with Royal Mail reporting it was losing more than £1 million a day.
In May of this year, however, a long-running dispute with the Communication Workers’ Union (CWU) finally came to an end.
The deal came after a tumultuous few years for Royal Mail, which culminated with CEO Simon Thompson announcing that he will be stepping down.
IDS announced on Thursday that it has appointed Martin Seidenberg, CEO of the group’s international parcel network, as the group’s new CEO.
He will be tasked with appointing CEOs for Royal Mail and GLS responsible for the operational management of the two subsidiaries “in due course,” the group said.
GLS, of which Seidenberg has been CEO since June 2020, has seen revenue growth of 7.4 percent over the past year.
Seidenberg said in a statement: ‘It is a privilege to be appointed to lead IDS and ensure that both Royal Mail and GLS reach their full potential. We may have challenges ahead, but through transformation and collaboration with our people, we can undoubtedly have a bright future ahead.
“We will remain focused on quality, profitable growth and margin development to thrive in the current challenging macroeconomic environment.”