Manitoba Public Insurance (MPI) could soon be facing a job cut at the behest of the province’s premier.
Premier Brian Pallister, on Monday, said that he expects the public insurer to cut 15% of its management teams “as a starting point” to find savings.
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Another Crown corporation, Manitoba Liquor and Lotteries, was asked to carry out a similar job cut.
“We have set specific management reduction targets of 15% for each organization as a starting point,” the premier told press. “Monopoly delivery organizations tend to get fatter at the top over time and that wasn’t addressed by the previous administration and we’re addressing it now.”
On Friday, Manitoba Hydro announced that it would reduce its executive team by 30% and begin a self-assessment to look into the elimination of 900 positions across the province,
Winnipeg Sun reported. Pallister is expecting other Crown corporations to follow suit.
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The premier reasoned that Crown corporations can no longer ignore the government’s anticipated $1 billion deficit by the end of the current fiscal year, and must do their part in mitigating the huge loss.
“In moving forward, we’ve got to strengthen the positions of all of our Crown corporations in terms of being able to offer better services more effectively without simply going back and asking for bailouts or higher rates,” Pallister mentioned.
Pallister additionally confirmed that Manitoba’s Crown corporations will be compared with its counterparts in other provinces, as well as its private competitors, to see how they fare.
“All Crown corporations need to find ways to trim their organizations effectively to deliver better service at a lower cost,” he stated.
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