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Show UP&L starts cost reduction programs SALT LAKE CITY -Utah Power & Light Co. said recently that it has inaugurated a stringent cost reduction program as a result of the down- turn in the economy. The utility has instituted in-stituted a re-evaluation of all spending programs, including a freeze on hiring and the filling of positions caused by attrition; at-trition; deferral of several construction projects; minimizing of its ma intenance programs; and the reduction of administrative ad-ministrative and advertising ad-vertising expenditures. The company's stringent cost reduction program was initiated after revised revenue projections did not meet - original growth ! projections. 5 In light of the national, and to a lesser degree, the area, economic do w ntur n espec ially that of the industrial sector management considers it only prudent to be conservative in its expectation of revenues. The company emphasized em-phasized that the demanmd for power in its service area is still growing but at a slower rate than that in previous years. The company said under normal conditions its 1982 personnel budget would have included the hiring of some 400 new people. A second, more severe revised personnel budget eliminated some 125 new people who would undergo training to staff the utility's Hunter III unit scheduled to go on line in mid-1983. In addition, ad-dition, 200 new jobs to fill vacancies left because of retirements and other attrition and 75 new jobs that would have been created under normal company growth will not be filled this year. The company said if it becomes necessary to fill certain, absolutely vital positions, it will require approval by the company's senior management who will apply stringent criteria before approving the positions. In addition, the company is no longer accepting applications for employment at any of its locations. Last month the company com-pany announced the construction deferral of its Hunter plant fourth unit because the projections for power from the industrial sector will not grow as rapidly as anticipated. The company said "While UP&L remains stronger and its problems less severe than most of the nation's other large utilities, it faces, a difficult dif-ficult year ahead. Without a sucessful cost-cutting cost-cutting effort, the company could face the unpleasant likelihood of payroll cutbacks if the economy of the company continues to deteriorate." UP&L also added that it wil be necessary that every company employee share in the prudent use of company resources and continue to improve individual and overall productivity. |