Hundreds of postal workers in Doncaster are to be given free shares when the Royal Mail is privatised, it has been confirmed.
Almost 1,500 eligible Royal Mail employees in the DN postcode area are set to receive shares in the business after the Government announced a flotation on the London Stock Exchange this financial year, which will give 10 per cent of all the shares in the business to eligible workers.
They will include people at Doncaster, Grimsby and Scunthorpe sorting offices, as well as employees working in Parcelforce Worldwide. There will be a pro-rata allocation for part-timers.
Approximately 150,000 employees across the country will be eligible for Free Shares, which will be awarded under a tax advantaged Share Incentive Plan. Eligible employees will have the option to opt out of the scheme if they wish.
This is the first major UK privatisation where all the shares for employees will be given to them on a free basis, and more Royal Mail employees will be able to participate in the Free Share scheme than in any other UK privatisation for almost 30 years.
The Government also announced that, alongside an offer to institutional investors, there will be a retail offer to allow customers to own a stake in Royal Mail.
Doug Neal, Delivery Director, said: “Our people are the heart of our business at Royal Mail. I’m very proud that I will be one of the owners of Royal Mail following a successful flotation on the stock exchange, along with my other Doncaster colleagues and those elsewhere around the country.
“By owning ten per cent of the company, together we will have a meaningful stake in the business. I think this will engage everyone and encourage us to continue to work together to build a great future for Royal Mail.”