An Post's senior managers dispute company's new plan

An Post has become embroiled in a row with its senior managers over the manner in which it is seeking to implement a restructuring…

An Post has become embroiled in a row with its senior managers over the manner in which it is seeking to implement a restructuring plan.

Its approach was described yesterday as "off the wall" by the managers' union representative, Mr Seán Ó Riordáin of the Association of Higher Civil and Public Servants.

The company is seeking to cut management numbers by at about a third as part of a strategic plan designed to get it back into profitability by 2006. It lost more than €40 million last year and faces a further estimated loss of €37 million in 2004.

As well as substantially reducing management posts, it wants to streamline existing structures by creating two new high-level grades, "level two" and "level three", to replace existing positions. Level two managers would report directly to the company's directors.

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The company's decision to advertise the level three posts without agreement with the AHCPS has angered the union, which has instructed members not to apply for the posts

The union is concerned that members are, in effect, being asked to apply for their own jobs, and without any agreement on terms and conditions. Those who are not successful are to be deemed "surplus" and placed in a "surplus employee pool", under proposals put to the union

In a letter to members, seen by The Irish Times, Mr Ó Riordáin and the union's An Post branch secretary, Mr Brian McGann, say the AHCPS has no principled objection to the creation of a level three post or to a reduction in management numbers. But they say the new posts should not be advertised or filled when negotiations are not yet concluded.

Mr Larry Donald, director of corporate and regulatory affairs with An Post, said it had made it clear to the AHCPS in February that, while it would consult the union on the restructuring of grades, it was not prepared to negotiate.

Mr Donald said the company was prepared to negotiate on changes which would have an impact on work practices.

Mr Ó Riordáin said the company should engage with the LRC "straight away".