Plans are being made to privatize Royal Mail, the distribution entity of the UK government which delivers letters and packages. As part of this transaction, upon completion, employees will receive 10% of the company stock. The value of this stock is estimated to be worth approximately $3000 per employee, which is proposed to be shared equally by all. The United Kingdom has a history of selling off government-owned bodies while including employee ownership as part of each package. A number of these types of transactions were completed during Prime Minister Thatcher’s tenure, especially in the transportation sector.
The position of labor at Royal Mail related to the privatization is challenging. A recent poll showed that 96% of the workers were opposed to the privatization. It remains to be seen whether or not the rank and file employees will be supportive of the transaction with the employee ownership component added.