GSP 13-19 CMC Closure – Update

25/July/2019

Description

You will be aware from previous correspondence An Post will close Cork Mail Centre by the end of March 2020. The reallocation of mails to the remaining three Mail Centres is scheduled to commence on a phased basis from the 26th August 2019. Since the announcement, the Union and Company have engaged extensively on addressing the staff impact issues at CMC, in addition to preparing for the necessary operational requirements that will ensure the successful implementation of the changes. The closure of a Mail Centre and indeed the existing Voluntary Severance Schemes are comprehended by a Labour Court Recommendation LCR 21563, issued in September 2017 and accepted at the time by the CWU and An Post.

Our immediate concern and priority is to address the staff issues in CMC and in this regard we referred a number of critical issues to the Labour Court. The Court has today issued its decision (copy attached) which in summary sets out the following enhanced severance terms for staff with more than two years’ service, assigned to CMC:

  • Employees aged 60 years or above, can now avail of the terms of the existing Company Voluntary Severance Scheme.
  • An additional Lump sum of €10,000 will be paid to full time employees and €7,000 to part time staff, aged under 60. This additional lump sum will be treated as part of the total severance package paid upon termination of the employment.
  • There will be no actuarial reductions for the mail centre staff who access their pension entitlements prior to their normal retirement age due to the closure.

The special terms outlined above are available to all members assigned to CMC that exit the Company as a result of the closure of the plant. While the Union regards the enhanced terms to be most favourable, it is strictly a matter for each individual to decide as to whether they wish to avail of them. The Union will explain in greater detail the revised terms at a specially convened meeting for CMC members on Saturday. We are currently working with the company to produce examples of the impact these changes will have on the figures already provided to members under the old scheme. The Company will shortly set out the revised terms to each member of staff that express an interest in severance.

For CMC members who do not wish to avail of these revised severance terms the Union will ensure reasonable redeployment options are made available by the company. For such redeployment’s seniority will be managed under the process previously agreed following determinations of both the Labour Court  and Monitoring Group. The closing date for receipt of applications for Voluntary Severance and/or Redeployment has been extended to Friday 16th August 2019.

Separately, the National Executive Council received a presentation from An Post on the required operational changes, summarised below. The company has agreed to commence immediate local discussions with the Branches impacted by the changes.

  • Closure of CMC completed by end March 2020
  • CMC to remain fully staffed for Xmas/Peak period
  • Phased reallocation of mail from DSUs to commence 26th August 2019
  • AMC/DMC/PMC local engagement to commence next week
  • Little Island DSU to relocate to new premises, when available
  • National MDN Review March 2020
  • Interim MDN changes to apply

The Joint Automation Group and recently established Drivers Joint Working Group will oversee the proposed changes with the assistance of the CWU Regional Officers. Any unresolved issue will be referred to the CSG or Monitoring Group by the 22nd August 2019.

Labour Court Decision LC21563

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