An Post urges unions back to talks

AN POST last night urged the Communication Workers’ Union (CWU) to return to the negotiating table 48 hours before notice of industrial action by postal staff is due to expire.

The union wants payment of the 3% national pay deal under Sustaining Progress which was due in November. TAn Post posted an operating loss of €47 million for 2003 and current year losses are expected to exceed €40m after implementation of non-pay cost-cutting measures.

Just before Christmas negotiations between the parties broke down when CWU representatives left talks on the company’s far-reaching strategic plan.

Under its strategic plan, An Post is seeking 1,500 jobs cuts among its 10,000 workforce and major changes in work practices to save €25m a year.

To boost revenue it wants to increase cost of the basic postage stamp from 48 cent to 55 cent but it must show it has introduced efficiencies if it is to convince the communications regulator to sanction the increase.

Negotiations on major work practice changes between the company and the CWU ran for over a four- week period in a north county Dublin hotel before the union walked out the week before Christmas.

Three other unions which represent other postal workers sought the national pay deal’s 3% and the company pleaded inability to pay, due to its dire financial position.

A stumbling block affecting Dublin postal worker members of the CWU is the company’s plans to cut the high level of overtime that accounts for 50% of the Dublin pay bill.

It means, according to company sources, that postal workers in the collection and delivery area earn close to €40,000 a year, though their basic pay and allowances are €24,000.

Company executives have spelled out the need for remedial action as the loss-making situation was unsustainable.

An Post’s is not unique in the communications industry where letter posting is slowing down as electronic competition grows.