CVPS to reduce employment in settlement with DPS

Central Vermont Public Service has filed an agreement with the Vermont Department of Public Service that, if approved by the Public Service Board, will govern the level of company staffing in customer rates over the next five years.
The docket was opened because of a disagreement with the DPS over employment levels and the associated cost to customers. Under the settlement, the DPS and CVPS agreed that the company will reduce employment by 17 positions within five years, from a starting point of 549 employees as of Jan. 1, 2009, giving CVPS credit for reductions made this year.
The settlement allows CVPS to maintain and recover the costs of up to 538 employees through 2011. Under the agreement, CVPS may recover the costs of up to 536 jobs in 2012; 534 in the 2013; and 532 in 2014. These reductions are in addition to about two dozen jobs the company expects to eliminate over the next few years as it implements CVPS SmartPower™, the company’s new smart-grid program. With efficiencies achieved through CVPS SmartPower™, the company expects to employ approximately 506 employees in 2014.
CVPS President Bob Young noted the settlement credited the company for recent reductions the company has made, and that the PSB had made no finding that the company was overstaffed.
“Given the discipline we have long brought to hiring, I believe these goals, while likely to require some reorganization of work, are attainable and reasonable,” Young said.
“I believe we are essentially the right size for now, but we can continue to hone the numbers to ensure we stay lean and focused,” Young said. “Our vigilance on service quality and cost-cutting has been critical to meeting customers’ expectations in recent years, and will allow us to make these reductions over time while meeting or exceeding all of our commitments to customers. We intend to use retirements, attrition and our Right Way to Work process improvement system to affect these reductions.”
Since 1993, CVPS staffing has decreased from 751 positions through business process improvements.