An Post to be briefed on cost cutting plans

Management and unions at An Post are to be briefed tonight by Government trouble-shooters on the outcome of an independent assessment of the company’s controversial cost cutting plan.

The meeting follows a review by accountants Grant Thornton of the company’s demand for overdue wage increases to be tied to changes in work practices for collection and delivery staff.

The Communication Workers’ Union have refused to support the plan claiming they are entitled to the pay hikes promised under Sustaining Progress.

But bosses at An Post have warned the company could be placed in jeopardy if it is forced to bring in the increases.

The National Implementation Body ordered an independent assessment of the cuts in a bid to break the deadlock and asked both sides to come together for talks. The NIB asked unions and management to keep details of the assessment under wraps for 24 hours.

Accountants Grant Thornton were called in to assess the cost of union proposals to alter the cost cutting plan which has already had the backing of the Labour Court.

Management claimed the changes would be too expensive, costing between €10m and €30m.

However, the CWU said the Sustaining Progress payments should not be linked to the changes in work practices.

A CWU spokesman said the union’s disputes committee would meet tomorrow to discuss the review and that it would honour the NIB’s request to keep the details confidential for 24 hours.