Jersey Post has said up to 90 jobs will be axed, as a part of an overall cost-cutting plan to save the business.
The company announced the intention to save almost £4.9m by the end of next year.
Staff were informed of the plans – described as “essential” by chief executive Ian Carr – yesterday (19 July).
Carr said: “The business transformation plan to remove £4.9m of costs over the next 18 months is essential for Jersey Post’s future survival. Jersey Post’s profits collapsed last year as letter mail volumes tumbled.
“With forecast losses about to be compounded by further competition, Jersey Post will become insolvent within a few years unless it takes radical action now.”
The Communication Workers Union said it was saddened by the announcement.
The postal union “has secured a voluntary approach to any redundancies and the possibility of new positions opening in the near future and will continue to work in partnership with the company at this difficult time”.
Dave Ward, CWU deputy general secretary, said: “This is a very difficult day for staff at Jersey Post.
“As a union we recognise that there is a need for the company to reduce its costs as it faces unprecedented business threats, including dropping mail volumes, loss of cross subsidy and pressures of regulatory uncertainty.
“Jersey Post plays a huge role in the life of the island and the loss of this volume of jobs will hit the island hard. We’re doing everything we can to maintain jobs for our members and to ensure a voluntary approach is taken to any job losses.”
Source: BBC/CWU/Post&Parcel
Tags: Carr, CWU, Jersey, Jersey Post
