The postponement of plans to part-privatise Royal Mail has been welcomed by a trade union.

Lord Mandelson's announcement that the privatisation of Royal Mail may not take place until after the summer has been welcomed by the Communication Workers Union (CWU).

According to the body's general secretary Billy Hayes, the decision could prove useful in its bid to ensure the organisation is modernised in the public sector rather than under private ownership.

The union has previously claimed that privatisation could potentially lead to a cut in services, which in turn may encourage the public to seek post office alternatives.

Discussing the potential postponement, Mr Hayes said: "The government must now consider alternative legislation by the autumn, to allow for a new form of regulation of the industry."

Representatives from the CWU are spending this week encouraging the public and postal workers in the East of England to support its campaign against plans to sell off a stake in Royal Mail.

Article Added: 01/07/2009 09:13:11