Threat of postal strike lifted after pay deal

THE threat of a potentially catastrophic pre-Christmas strike by postal workers has been lifted following the acceptance by management of Labour Court recommendations on wage increases.

The court recommended the payment of overdue increases under Sustaining Progress without conditions.

An Post saved €20 million last year by not paying wage increases to around 10,000 staff at a time when the company made pre-tax profits of €7m.

The Communications Workers’ Union (CWU) had already said it would strongly recommend to members that they accept the court’s proposals.

In a statement yesterday, the company ended the long-running dispute and said: “The key factor going forward will be the implementation of the Labour Court recommendation to ensure a quality and timely postal service for all customers.”

Management said it welcomed the commitment by the CWU to recommend acceptance of the court’s view in a ballot and the calling-off of industrial action which would have disrupted postal services in the run-up to Christmas.

Margaret McGinley, the chairwoman of the board, said the key factor would be the implementation of the Labour Court recommendation “to ensure a quality and timely postal service for the customers.”

The Labour Court proposals recommended that overdue wage increases be paid in return for work practice changes for collection and delivery staff and it had made a number of changes to its original recommendations on changes in work practice.

The company has been seeking changes to the operation of its collection and delivery service to reduce overtime costs.

The CWU had threatened industrial action to pursue outstanding pay increases due to its members under the Sustaining Progress agreement.

Communications Minister Noel Dempsey had warned that a strike at An Post could usher in liberalisation of the market sooner than the planned 2009 date.