Suspension of Bulk Mail Compensation and the C factor adjustment

On 14 May, Postcomm held an open meeting ‘After the Postal Strikes’ to hear evidence on Royal Mail’s application for suspension of the ‘c factor’ adjustment (restrictions on the level by which Royal Mail can raise prices if service quality is not met) and the bulk mail compensation scheme, following industrial action last year.

Postwatch presented a number of areas in the application which Postcomm should investigate further, including whether:

- the whole of quarter 3 (from 3 Sept to 2 Dec) should be included in the application.
- recovery periods, following industrial action, within the application are reasonable.
- claims for unofficial industrial action should be included.

Postcomm have invited further written evidence by any interested parties on the impact of industrial action and Royal Mail’s application to be submitted by the end of May.

You can see Royal Mail’s application HERE.