An Post has refuted suggestions that figures it used to justify the integration of its parcel and courier wing, SDS, were sabotaged, or deliberately made unworkable to thwart a Rescue Plan agreed for the department.
An Post management was responding to claims by the Communications Workers' Union which today called for a complete freeze on the decision by the management to integrate the company into An Post.
An Post claims that the move would create sustainable employment for 180 staff and halt existing SDS losses, which they have done all they can to arrest.
However presenting the results of an investigation, conducted by LHM Casey McGrath, the CWU claims that An Post management deliberately sabotaged the Rescue Agreement.
The Union has called for the integration to be halted with immediate effect and requested that Minister for Communications, Mr Dempsey, call a full and independent investigation into how the finances of the company were mis-represented by management. The Union has also called for a debate with all stakeholders.
According to the CWU the financial information used in July 2004 to justify the closure of the SDS was unsound and is characterised by a number of discrepancies .
The report claims that the company's revised figures doubled the projected losses for 2004, from €4.9m to €10m, as well as reducing the projected revenue by over €5m, from €68m to €63m.
A review is particularly necessary in light of the actual turnover figures for July and August which are in line with the original projection of €69m.
An Post claim that the issue is not revenue, but losses, which all attempts to halt have failed. Since the implementation of the 2004 SDS recovery plan losses have increased projected losses have increased from €0.4m to €9.3m.
An Post claims that five options for SDS were considered by the board but that the only viable route was to integrate it into An Post and maintain 80 per cent of the existing customer base.
However, General Secretary of the CWU, Mr Steve Fitzpatrick, has claimed that up to 3,500 customers will lose access to a service that can not be replaced by the common public post office.
Not so, according to An Post CEO, Larry Donald, who claims that sufficient work will be done to cope with the increased demands on the postal service.
