Royal Mail and CWU extend deadline for pay agreement

LONDON (Reuters) - Britain's newly privatised Royal Mail postal service said talks over pay and working conditions with the Communication Workers Union (CWU) had been extended by a week.

Last month Royal Mail staff called off a planned strike after both parties committed to finalising an agreement by November 13, which would include an improved pay offer and a separate pension agreement.

Royal Mail and the CWU said on Wednesday that the deadline had been extended to November 20, and that the legal validity of the current industrial action ballot had been extended until November 27.

"Members should rest assured that we are committed to reaching an agreement in the next week and that consideration will be given to serving notice for industrial action should this not happen," said CWU general secretary Dave Ward.

Shares in Royal Mail were up 0.7 percent to 551 pence at 1155 GMT, up 67 percent from its 330 pence float price.

(Reporting by Neil Maidment, Editing by Paul Sandle)