Vol. 454 No. 7
13 Miss Harney asked the Minister for Transport, Energy and Communications the estimated overmanning levels in the ESB in 1994; and, on the basis of the average cost per employee in 1994, the excess loss in pounds per annum that this represents. [11375/95]
14 Dr. Woods asked the Minister for Transport, Energy and Communications the present situation in regard to the ESB; the total number of redundancies envisaged; and the timeframe. [9038/95]
25 Mr. N. Treacy asked the Minister for Transport, Energy and Communications the agreements which he has reached with the ESB on the closure and/or the downgrading of their services throughout the country; and if he will make a statement on the matter. [11369/95]
88 Mr. Callely asked the Minister for Transport, Energy and Communications the feedback or submissions, if any, he has received from ESB employees since his recent announcement of proposals regarding the future of the company; and if he will make a statement on the matter. [11540/95]
I propose to take Questions Nos. 13, 14, 25 and 88 together.
As part of the tripartite cost and competitiveness review in the ESB, McKinseys undertook benchmarking studies to examine how the board could deliver its services in the most cost-effective way. The consultants estimated the overmanning in ESB at 2,900 by reference to best practice elsewhere. The consultants concluded that this represents scope for gross savings of £120 million to include an approximate £80 million reduction in payroll costs and an additional £40 million to be saved in non-payroll costs. However, when offset by necessary increases in networks investment, the total net savings would be £100 million. The Government has required the ESB to take all necessary measures to achieve as much as possible of the savings identified by McKinseys within a two-year period.
My Department is, of course, represented on the Cost and Competitiveness Review Steering Group which monitors progress on negotiations between the ESB management and unions. However, my Department has no direct role in the negotiations themselves and, therefore, has no input into decisions about ESB's operations and services throughout the country — such decisions properly being the responsibility of the ESB management. My Department's responsibility is to represent the shareholder and promote the cause of the consumer.
