At the annual CWU policy forum in London this morning union members agreed to hold a strike ballot no later than September this year unless job protection and service agreements could be secured with Royal Mail. The ballot proposal would involve around 115,000 Royal Mail workers. Parcelforce Worldwide and Post Office staff would be excluded. CWU deputy general secretary Dave Ward told delegates that unless drastic changes were made he couldn’t see negotiations with Royal Mail succeeding. “The current situation cannot go on. Postal workers are being squeezed in their workplaces, facing an uncertain future and changes to their pensions. “There hasn’t yet been a pay rise for staff this year despite healthy company profits of £403 million. But most importantly, we want protections for job security and terms and conditions and these are sadly lacking. “CWU is committed to holding serious negotiations with Royal Mail to achieve settlement on these issues, but efforts to date do not bode well. Ward said that Royal Mail had only begun to take negotiations seriously following the union’s consultative ballot in June at which 92% of nearly 83,000 respondents backed a boycott of downstream access providers and the withdrawal of co-operation on workplace changes. Additionally 99% backed to union’s demand for an over-inflation pay increase and 96% opposed privatisation. “We do not take the decisions to hold a strike ballot lightly. However, we will stop at nothing to ensure that the future of our members’ jobs – and of the services they deliver – are protected.” The union said it was confident that talks would continue over the next couple of weeks but that a resolution was “looking unlikely”. A Royal Mail spokesman said Royal Mail was disappointed that the CWU intended to call for a national strike ballot and that the organisation hoped to find a resolution. Referring to Royal Mail’s offer of an 8.6% pay increase over three years that was tabled earlier this year, he said: “A highly competitive pay offer and agreement has been proposed to the CWU and has been rejected. “Talks are on-going and we are committed to seeking an agreement. We believe that a ballot on strike action is inappropriate. Disrupting the service Royal Mail provides to its customers is not helpful. “Royal Mail operates in a very competitive market, especially in the parcels market. We recognise that customers have a choice and can move their business very quickly. We want to reach agreement with the CWU as soon as possible to give customers and employees continued stability.”...

Yesterday the group filed a supplement to its Chapter 11 Plan of Reorganisation that detailed its planned new executive line-up. Perez remains as chief executive on a base salary of $1.1m (£723,000). He has agreed to take the role for one year from Kodak’s emergence from Chapter 11, or until the board elects his successor. At such time he would continue to work for Kodak as a full-time advisor for the remainder of his contract term. The court document stated that Perez “is subject to a two-year non-competition covenant following the termination of his services, in exchange for a $1m annual cash payment and up to a $2m contingent payment on the basis of achievement of performance metrics and service as a consultant during the noncompetition period”. In 2012 Perez’s total package including bonus and options was $5.47m, down on the $6.98m he received in 2011. Doug Edwards continues as president of digital printing and enterprise, on a base salary of $450,000. Brad Krutchen will have a base salary of $465,000 in his role as president of graphics, entertainment and commercial films. This division includes Kodak’s prepress business. The other executive officers are: Gustavo Oviedo, managing director Latin America region and managing director and chief customer officer for emerging geographies; Eric Samuels, controller; Patrick Sheller, chief administrative officer; Terry Taber, chief technical officer; and Laura Quatela, senior vice president, who will over see the sale and transition of Kodak’s Personalised Imaging business to the Kodak Pension Plan (KPP) in the UK. A raft of share options and bonus targets under Kodak’s EXCEL annual incentive plan form part of the new executive packages, with a special transition deal for Quatela. Three months ago Kodak announced it would sell two of its businesses to KPP in a move that helped to fund its emergence from Chapter 11 and solve its pension liability problem in the UK. Earlier this week the Financial Times described Kodak’s UK pension fund as “scrambling to collect votes from members” in order to gain the clear majority required for the new pension arrangements to be rubber-stamped by the Pension Protection Fund. The original deadline of July 12 has been extended, according to the newspaper. The court deadline for objections to Kodak’s reorganisation plan is 9 August, with the vital ‘confirmation hearing’ currently set for 20 August....

Yesterday the group filed a supplement to its Chapter 11 Plan of Reorganisation that detailed its planned new executive line-up. Perez remains as chief executive on a base salary of $1.1m (£723,000). He has agreed to take the role for one year from Kodak’s emergence from Chapter 11, or until the board elects his successor. At such time he would continue to work for Kodak as a full-time advisor for the remainder of his contract term. The court document stated that Perez “is subject to a two-year non-competition covenant following the termination of his services, in exchange for a $1m annual cash payment and up to a $2m contingent payment on the basis of achievement of performance metrics and service as a consultant during the noncompetition period”. In 2012 Perez’s total package including bonus and options was $5.47m, down on the $6.98m he received in 2011. Doug Edwards continues as president of digital printing and enterprise, on a base salary of $450,000. Brad Krutchen will have a base salary of $465,000 in his role as president of graphics, entertainment and commercial films. This division includes Kodak’s prepress business. The other executive officers are: Gustavo Oviedo, managing director Latin America region and managing director and chief customer officer for emerging geographies; Eric Samuels, controller; Patrick Sheller, chief administrative officer; Terry Taber, chief technical officer; and Laura Quatela, senior vice president, who will over see the sale and transition of Kodak’s Personalised Imaging business to the Kodak Pension Plan (KPP) in the UK. A raft of share options and bonus targets under Kodak’s EXCEL annual incentive plan form part of the new executive packages, with a special transition deal for Quatela. Three months ago Kodak announced it would sell two of its businesses to KPP in a move that helped to fund its emergence from Chapter 11 and solve its pension liability problem in the UK. Earlier this week the Financial Times described Kodak’s UK pension fund as “scrambling to collect votes from members” in order to gain the clear majority required for the new pension arrangements to be rubber-stamped by the Pension Protection Fund. The original deadline of July 12 has been extended, according to the newspaper. The court deadline for objections to Kodak’s reorganisation plan is 9 August, with the vital ‘confirmation hearing’ currently set for 20 August....

“Corporate balance sheets are still being squeezed to the last penny,” said Basil Bannayi, managing director of Close Brothers Asset Finance’s print division. “But it is encouraging to see that some, if only a few, are starting to see pay increases.” The findings were included in the Close Brothers Business Barometer, a quarterly survey of SME owners and managers across a range of sectors, which included 550 companies. The survey revealed that of 33 print and packaging companies, 20% gave staff pay rises in the last year – double that of 2012. Meanwhile 17% anticipated giving staff a pay rise within the next 12 months. “Taking inflation into account the print industry has contracted 25% in five years. It has a revenue of about £9bn, a reduction of 6% in one year. So it’s hard to see how there could be many pay rises or much capital investment or expansion,” said Bannayi. He added that although the last few years had been challenging, the survey findings may suggest that there were “still some printers who have viable business models” and were still able to reward staff for their efforts. “Hopefully this is a sign that things have begun to pick up,” he said. “I think things will get better in the next year or two. People have become weary of talking the industry down. The enormous cull of firms without viable business models is nearing completion,” Bannayi added. “Companies have managed to evolve and work to the challenges. Some have latched on to alternatives to going cap in hand to the bank manager for an overdraft. Some are using asset finance, but more need to explore alternatives.” Bannayi said that of the print and packaging firms surveyed, two thirds had not approached their bank in the last six months, with a quarter of those admitting they were worried their existing overdraft may be cut. “It is essential these SMEs are aware of their financial options if they are to safeguard any tentative progress towards recovery.”...

“Corporate balance sheets are still being squeezed to the last penny,” said Basil Bannayi, managing director of Close Brothers Asset Finance’s print division. “But it is encouraging to see that some, if only a few, are starting to see pay increases.” The findings were included in the Close Brothers Business Barometer, a quarterly survey of SME owners and managers across a range of sectors, which included 550 companies. The survey revealed that of 33 print and packaging companies, 20% gave staff pay rises in the last year – double that of 2012. Meanwhile 17% anticipated giving staff a pay rise within the next 12 months. “Taking inflation into account the print industry has contracted 25% in five years. It has a revenue of about £9bn, a reduction of 6% in one year. So it’s hard to see how there could be many pay rises or much capital investment or expansion,” said Bannayi. He added that although the last few years had been challenging, the survey findings may suggest that there were “still some printers who have viable business models” and were still able to reward staff for their efforts. “Hopefully this is a sign that things have begun to pick up,” he said. “I think things will get better in the next year or two. People have become weary of talking the industry down. The enormous cull of firms without viable business models is nearing completion,” Bannayi added. “Companies have managed to evolve and work to the challenges. Some have latched on to alternatives to going cap in hand to the bank manager for an overdraft. Some are using asset finance, but more need to explore alternatives.” Bannayi said that of the print and packaging firms surveyed, two thirds had not approached their bank in the last six months, with a quarter of those admitting they were worried their existing overdraft may be cut. “It is essential these SMEs are aware of their financial options if they are to safeguard any tentative progress towards recovery.”...