Royal Mail Group (LON:RMG) has kicked off its Christmas recruitment campaign, the privatised postal operator has said. The move comes as the company continues to struggle to reach an agreement with a trade union over its move to replace its current pension scheme with an alternative plan.
Royal Mail’s share price has been subdued in today’s session, having slipped 0.24 percent to 383.80p as of 14:34 BST, underperforming the mid-cap FTSE 250 index which has climbed into positive territory and is currently 0.34 percent up at 19,636.66 points. The group’s shares have lost more than 21 percent of their value over the past year, and are down by just under 17 percent in the year-to-date.
Royal Mail announced in a statement yesterday that it was starting its annual Christmas recruitment campaign for around 20,000 temporary workers across the UK, who will help sort the Christmas post and the increasing amount of online holiday shopping. The postal operator is seeking to recruit around 18,000 workers across its core network in the UK, while the group’s express parcel business, Parcelforce Worldwide, is also recruiting around 2,100 extra people.
The move comes amid Royal Mail’s ongoing dispute with the Communication Workers Union over the group’s plans to replace its defined benefit pension scheme with an alternative plan. The union’s members are voting on whether to take industrial action which could potentially disrupt deliveries across the UK ahead of the key Christmas period.
The 15 analysts offering 12-month price targets for Royal Mail for the Financial Times have a median target of 450.00p on the shares, with a high estimate of 590.00p and a low estimate of 320.00p. As of September 22, the consensus forecast amongst 17 polled investment analysts covering the mid-cap postal operator advises investors to hold their position in the company.