Over 100 Post Office branches and approximately 1,000 jobs are at risk as the organization undergoes a major restructuring aimed at increasing postmaster pay by £250 million over the next five years.
The Post Office announced plans to offload 115 company-owned branches from its 11,500-strong network. These locations could be transferred to retail partners or individual postmasters or potentially face closure.
Around 1,000 employees work at the affected branches, with additional job cuts expected at the headquarters as the company seeks to streamline its back-office operations.
Chairman Nigel Railton stated that the restructuring will introduce a “new deal for postmasters,” enhancing their share of revenue and giving them a stronger voice in the business, as part of efforts to move past the Horizon IT scandal, which led to wrongful convictions of numerous subpostmasters.
Subject to government funding, the plans aim to double average branch pay by 2030, with an additional £120 million in pay increases within the first year.
Railton made the announcement at the company’s headquarters in London, addressing postmasters, retail partners, and Post Office staff.
He said: “The Post Office has a 360-year tradition of public service, and today we are focused on securing that legacy for the future by learning from past mistakes. We are committed to restoring pride in a business rooted in service, rather than one tarnished by scandal.”
