ICBC vows to prune 250 staff

Acting on a damning report on its corporate efficiency, the Insurance Corp. of B.C. followed through Thursday by announcing 250 staff cuts, including eight vice-presidents.

Steve Crombie, the government insurance corporation’s VP of communications and marketing, said most of the layoffs will be completed by the end of this month, with the rest following next year. Six of the vice-presidents have already been axed.

“We have reduced our VP ranks by six positions, with a plan to reduce by another two positions in 2013,” Crombie said. “ICBC committed publicly in August when we responded to the government review that we would be making significant cuts. ICBC expects to save $29 million per year for the full 250 reductions.”

The government review’s findings stoked public anger, as car-insurance costs rose in part to pay for a top-heavy bureaucracy.

“There will be some bargaining-unit positions eliminated, but the focus is on senior managers and managers,” said Crombie. “We’re confident that our customers want us to be running a lean organization and that’s what these changes will deliver.”

A company advisory said the “reductions go beyond the recommendations from the government review of ICBC earlier this year and bring staffing below 2008 levels. The company is making these reductions earlier than planned with a majority of the reductions occurring in 2012.”