Norwich staff refuse to help efficiency bid

STAFF at Norwich Union have decided not to co-operate with a team of consultants hired by the company to improve efficiency.

Staff members, who mainly belong to the Manufacturing Science and Finance trade union (MSF), yesterday voted overwhelmingly to withhold their co-operation until management provides more information about the consultants' work.

A spokesman for MSF said it was unable to recommend a vote in favour of co-operating with Coopers & Lybrand unless senior executives at Norwich Union clarify the terms of reference under which the consultants had been retained.

"We believe it would be irresponsible to tell members to cooperate with an exercise that could affect the security of their jobs," he said.

The spokesman said management would give no guarantee on jobs and have only agreed to inform the union, in advance of any changes.

No spokesman for the management was available for comment yesterday.

Norwich Union told its 550 staff last week that Coopers & Lybrand will spend eight weeks examining all aspects of the company's business in Ireland.

In a letter to all employees, the company said the consultants would concentrate on examining cost and revenue.

This review of the group's Irish business comes as its parent company in Britain has indicated it is considering a public flotation.

Norwich Union reported disappointing results in January showing no growth in premium income in the Republic in 1995 while new business sales remained at 1994 levels of £12.7 million.