Consignia to cut up to 20,000 staff

Consignia says it may cut up to 20,000 staff over the next 18 months.

The company plans to trim 10% of its workforce as part of a drive to cut costs by £1.2bn - that's 15% - by March 2003.

Consignia has been increasingly hard-pressed by rivals since the UK postal market was opened up for competiton by Postcomm.

The company's last annual results revealed an operating loss before exceptional items of £3m.

Consignia said: "No decisions have been taken. This is because we want to do this with the co-operation of the unions and we will be discussing this with them over the next few weeks."