Efficiency improvements means workforce reduction
Isle of Man Post Office has reached an agreement with the Communication Workers Union ending months of discussions over pay.
The agreement provides for a headline increase of 3.5% in basic pay: This is funded through the reallocation from ancillary payments from within the existing payroll costs and changes to working practices which provides the business with improved operational productivity.
The efficiency improvements means that the overall workforce will reduce and this will be dealt with through natural wastage and voluntary redundancy.
Due to the continuing decline in mail volumes, a process for voluntary redundancy has also been agreed should it be required in the future.
Assistant secretary of the Communication Workers Union, Terry Pullinger, says it's a responsible agreement:
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