Tag: Republic of Ireland

The National Treasury Management Agency (NTMA) is seeking a 20pc cut in its 40m-a-year payments to An Post for handling savings certificates, bonds and regular deposits. The NTMA is responsible for managing the funds raised through these products on behalf of the Government, but An Post markets them and sells them in post offices. It charges its fellow State agency 2.75pc of the value of the transactions. This is more than the certificates and bonds pay in interest to savers, and many times the 0.1pc which ordinary depositors in An Post savings receive. It also compares with the 0.5pc charged by the international managers of the national pension fund. NTMA officials believe the fees are too high and are seeking an 8m reduction. A spokesman for An Post would say only that the matter was under discussion. An Post is likely to argue that there is considerable work involved in handling retail products such as these, where amounts are often small, and that the charges are justified.

Communications Minister Noel Dempsey stepped in last night to try to resolve the growing crisis at An Post. Only days after more than 4,000 postal sorters rejected a proposed 5.35pc pay deal in return for cuts in jobs and overtime, the minister met with management and the Communications Workers Union in Dublin. In a pre-Christmas plea, Mr Dempsey urged both sides to work in partnership to overcome their current difficulties and “plan for the future of the company”

Plans by An Post to cut staff numbers and overtime costs drastically in its collection and delivery service have been overwhelmingly rejected by staff. Of 4,315 members balloted by the Communications Workers’ Union, only 195 supported management’s reform proposals. They will now be referred to the Labour Court for adjudication next year, further delaying full implementation of a company recovery plan. The ballot result, announced yesterday by the CWU, does not carry any threat of industrial action. CWU members had balloted separately in favour of a strike. However, following a 24-hour stoppage last week, the union said there will be no further disruption before Christmas. The latest ballot concerned the outcome of seven months of negotiations between the company and the union at the Labour Relations Commission (LRC).