Fergal Leamy to become new An Post chief executive amid salary dispute

Fergal Leamy, who previously led Coillte and Glen Dimplex, is set to take the helm as the new chief executive of An Post. The state-owned postal company is expected to announce his appointment on Thursday, with Leamy succeeding David McRedmond at the end of the month.

The selection process has reportedly strained relations between An Post's board and the Department of Communications, particularly concerning the proposed salary for the incoming CEO. The board had suggested a salary of approximately €360,000 per year, based on a new pay determination system for commercial state companies. However, Minister for Communications Patrick O’Donovan did not approve this figure, instead opting for a lower rate of around €270,000. This contrasts with McRedmond's current basic pay of about €250,000 annually, and the final terms for the new chief executive are yet to be confirmed.

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Finding a replacement for the former TV3 boss has strained relations between the company and its parent department, as well as Minister for Communications Patrick O’Donovan.

Further concerns have arisen within An Post regarding delays in approving a request to raise the company's borrowing ceiling. This increase is crucial for funding investments in various projects, including the development of a centralized sorting office facility, which the company views as vital for its future growth. The board communicated its concerns to the Minister earlier this month, stating that the delays were undermining its operations and raising questions about its fiduciary duties and financial responsibilities amidst increasing business pressure.

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The board wrote earlier this month to the Minister saying it was being undermined by the delay, outlining that its business was coming under increased pressure and that this left the board’s fiduciary duties and financial responsibilities in question.