Updated 2:33pm 21 May 2012

Mail chiefs agree bonus freeze

BOSSES at Royal Mail have today pledged to forego bonus payments if the company fails to meet service standards next year.

The pledge came as Royal Mail made its first profits for four years - and figures showed that Huddersfield postal workers topped the table for delivering mail on time last year.

Some 94.8% of first class letters to HD postcode areas were delivered a day after posting. Sheffield was second with 94.2% followed by Lincoln (93.9%).

But nationally, Royal Mail missed its delivery targets - achieving 90.1% against a target of 92.5%. The figure for second class post was 97.8% against a target of 98.5%.

Royal Mail said the performance had been hit by unofficial industrial action by postal workers last autumn.

Chairman Allan Leighton said he would forego his £144,000 bonus if the company failed to meet quality targets for 2004-2005.

Chief Executive Adam Crozier will waive part of his bonus- worth thousands of pounds - if quality targets are not achieved.

The move came as Royal Mail announced profits of £220m for 2003-2004 against losses of £197m. Parcel Force Worldwide halved its losses to £102m.

The return to profitability followed a two-year period when losses reached more than £1m.

Since then, Royal Mail has launched a major shake-up to axe jobs, close some post offices and scrap second class deliveries.

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