CWU on "financial meltdown" story

[TrueBlueTerrier]

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In response to our story documenting allegations that the union was “on a verge of a financial meltdown” amid “outrageous abuses”, the CWU has provided the following statement from Tony Kearns, deputy general secretary.

As the CWU was not contacted for comment, we are pleased to take up the offer by LondonLovesBusiness.com to have a right of reply published on their website to offer some facts on the wildly inaccurate claims made in the article on 30th October 2012 entitled ‘Exclusive: CWU union in “financial meltdown” amid “outrageous abuses”’.

The article relies on anonymous and unsubstantiated claims that the CWU is approaching “financial meltdown” without presenting the real – publicly available – state of affairs.

CWU’s consolidated accounts are a matter of record and show that the union has had an operating surplus in eight of the last nine years since 2003. There are still two full months left to run of the current financial year and so, whilst not a definitive position, it is reasonable for us at this point to expect that the 2012 consolidated accounts will also show an operating surplus.

This renders the headline claim “financial meltdown” wholly inaccurate indeed allegations of “financial meltdown” – which would imply imminent insolvency – are clearly wildly inaccurate and form part of clearly unsubstantiated commentary included in the article. There is equally no proof to back up the allegation in the headline of “outrageous abuses” yet it is printed unquestioned.

CWU adheres to stringent financial, accounting and reporting standards. The union’s accounts are audited independently to international accounting standards and are lodged with the Trade Union Certification Officer. Our financial accounts and annual reports are scrutinised by our members and the allocation of funds is overseen by our lay executive which is democratically elected by our whole membership biennially.

There are many more inaccuracies in the article, probably because it relies on anonymous sources riddled with basic mathematical mistakes.

The processes that have been used and are being used to deal with the issues which Asa Bennett presents - via reference to an anonymous document - as leading to “financial meltdown” are exactly the same processes that have delivered the operating surpluses in eight out of the last nine years.

CWU is very happy to address the concerns of members, but it is difficult to do so when they come from anonymous sources with unsubstantiated claims presented as fact. There are many challenges facing the CWU and our members, as attacks on workers’ legal rights are continuing to be brought in, along with cuts, outsourcing and health and safety attacks.

[fishtank]

The processes that have been used and are being used to deal with the issues which Asa Bennett presents - via reference to an anonymous document - as leading to “financial meltdown” are exactly the same processes that have delivered the operating surpluses in eight out of the last nine years.

The same tired arguments defending the existing structure and spending regime of the CWU will see our demise. It is now time for people to stop cloaking themselves with the false logic that somehow there’s a way to just carry on as we are, deliver no change and everything will just turn out fine – it won’t.

Tell us exactly what's changed in the existing spending regime in the past two years other than reducing the overall quality of representation,selling off some family silver and Martin Collins not being replaced?

Are we a better,sleeker,fitter union spending more wisely and delivering top quality representation to our members or a poorer union,still bloated with hangers on and ridiculous expenses just spending less on organisation,education and representation?

Which budgets have been cut and more importantly which still remain untouched?
Shall i start the ball rolling..
Staff Costs in 2009 were £8,046,296
Staff Costs in 2010 were £8,591,493
Staff Costs in 2011 were £9,046,166
£1,000,000 in two years?
That's 13% over two years.