The Royal Mail statement stressed that no frontline staff would be affected, effectively meaning postal delivery workers would not lose their jobs. Chief executive Moya Greene defended the cuts, saying they were necessary for the company to compete in the letters and parcel market.
CWU deputy general secretary Dave Ward called the news "concerning". He said: "We understand that the majority of these job losses will mainly be head office managerial staff rather than postal workers but we will fight to protect as many jobs as possible. Our next step is something we will be discussing at today's Postal Executive. However until we see detailed plans it would be inappropriate to comment further.”
Unite is threatening industrial action over the move. The union's Royal Mail officer Brian Scott accused the company of putting profits over serving the country.
"Unite is demanding a commitment to no compulsory redundancies on fair terms and an effective method for redeployment within the restructured organisation," he said. "If Royal Mail refuses we will have no alternative than to consider a ballot for industrial action."
Royal Mail chief executive Greene came under from Vince Cable on the weekend when it was reported he had tried to restrict any pay rise she receives to 3%. This would keep it in line with the pay of the rest of the company's employees.
The Government still has a 30% stake in Royal Mail despite privatisation.