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ICBC says it is restructuring.
Five members of ICBC's executive have had to leave, and two executive positions have been eliminated.
Four vice-president roles have been cut.
The company says once the restructuring is finished, 250 positions overall will have been eliminated -- with a majority among management.
It says the cuts bring staffing below 2008 levels and go beyond recommendations from the Government's review that happened earlier this year.
Most of the cuts will happen in 2012.
The company adds it will be working to finalize further changes -- and will bring compensation policy in line with the Government's new guidelines.
The union that represents ICBC employees says news of cuts at the crown corporation are not surprising.
David Black says the eliminations are the logical next step after the Government's audit of ICBC earlier this year.
As for whether ICBC cuts will reflect in rates?
"The administrative overhead costs of ICBC is very small compared to what people pay in rates, it's very very small compared to the private sector so it would make a difference at most of pennies a policy for drivers in British Columbia."
The union is currently in negotiations.
Black was asked whether the move by ICBC to cut costs will affect those negotiations.
"Well, certainly the amount that they're paying managers, we're not asking for anything near what the raises that they've given them or in fact, what they're gonna be getting even after it's clawed back. But, we just want a fair and reasonable settlement and we're struggling away and hoping to get that."
Mary Polak is the minister responsible for ICBC.
She says she's pleased changes are being made in response to the Government's audit.
"These adjustments and other actions that they're taking to reorganize their work will ensure that we can keep the rates low for those who are purchasing ICBC insurance."
Polak says the Government is sure ICBC will follow through with the rest of the audit's recommendations.
NDP Critic Mable Elmore says,
"Well, I think it's a fairly positive response, that ICBC has responded to the audit that found that their senior management ranks were quite overburdened."
Elmore says there have been nine ministers responsible for ICBC since 2008.
She says it's clear those ministers didn't have a good handle on what was going on -- and the situation spiralled out of control.
Meanwhile, Jordan Bateman with the Canadian Taxpayers' Federation is applauding the eliminations.
"And it's always good to see that these audits and reviews that are done by the government are actually acted upon. There's no doubt that this is gonna save taxpayers and ICBC ratepayers money in the long run."
Bateman says it's not perfect, but it's a big step forward.