Consignia plans managerial cull

ONE in three of the most senior postal managers will have to leave Consignia within a year in a shake-up which goes beyond previously announced restructuring plans.

Allan Leighton, chairman of Consignia, told the BBC’s Breakfast With Frost: “I had 150 top managers together about a week ago and said to them that I expect some change, and the probability is a third of them wouldn’t be around in a year’s time, and that’s going to be a fact.”

It is believed the managers will go not purely to reduce the headcount but because it is thought they would be unable to cope with the reforms being proposed.

Mr Leighton also failed to give John Roberts, the chief executive, a solid endorsement amid speculation that he will soon lose his job. Consignia and the DTI, which appoints all board members, have denied that he is to leave but there is said to be pressure from inside Government for change at the top. Asked if Mr Roberts had his total confidence, Mr Leighton said: “John is the chief executive of the business. He’s been there for a period of time and there’s been a lot of speculation, as there always is about leadership in these situations, and you wouldn’t expect me to comment. And I wouldn’t comment positively or negatively on anybody.”

Mr Leighton also made a firmer commitment to changing the much-loathed name of Consignia, which he expected to be done within “a shorter time-frame” than two years.

Billy Hayes, general secretary of the Communication Workers Union, told the show that the price of stamps should be raised to enable more investment in postal services.

Consignia is expected soon to announce a second tranche of redundancies which will affect Royal Mail.

(c) Times Newspapers Ltd, 2002

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