175 Independent staff facing compulsory redundancy

ONE hundred and seventy five staff at Independent News & Media (INM) face compulsory redundancy next month after the newspaper’s voluntary programme failed to attract interest.

Management at INM told unions yesterday that its patience had run out after only 30 people accepted the package put to clerical and administration staff last August. Staff were offered payments of up to €260,000 or could take jobs with companies that provide outsourced services to INM, which include Cork-based SWS in Clonakilty or a call centre in Armagh city.

Human resources director Declan Carlyle said the offer was “extremely generous” and he expected people to take redundancy rather than transfer from Dublin. INM will bring in compulsory redundancy if the 175 staff affected fail to sign up for the deal by May 21. Mr Carlyle warned that the €23m package would be withdrawn at that point, with staff only getting statutory entitlements after that.

Mr Carlyle also said that the programme would complete the restructuring of INM’s publishing division and would not affect staff at the printing operation in Dublin’s Citywest or editorial staff in the group’s Irish papers.

Staff will get four weeks plus statutory redundancy for every year worked, subject to a minimum payment of €40,000.

The company said the average payment would be €110,000 and that over 40 staff were entitled to the €260,000 maximum. Mr Carlyle said INM would fund the programme from the sale of its offices in Dublin’s Abbey Street.

Independent Newspapers (Ireland) chief executive Vincent Crowley said the programme was essential to allow the company to drive down the cost of its “non-core activities”.

Mr Crowley was disappointed with the poor uptake so far and said yesterday’s meeting with unions aimed to make it clear that the redundancy offer would not be available indefinitely.