icare’s CEO recruitment process will not be affected by consultation over the axing of 130 jobs, the NSW state insurer says.

As insuranceNEWS.com.au revealed earlier this week, icare has begun talks with union representatives and staff over proposed structural changes that may reduce its workforce and bring savings of about $23 million a year.

In April, the insurer announced that CEO Richard Harding, who took the role in 2021, had resigned and would depart in October to focus on taking up board positions. In fact, Mr Harding left last month.

“When I arrived three and half years ago, icare was in crisis and the McDougall review was being handed down,” he posted on LinkedIn. 

“Today we have stabilised the organisation, [and] created a forward-looking culture centred on ‘those we serve’ and how each person can make a difference to strive for improvement. 107 recommendations from McDougall have been implemented and the organisation has robust risk, governance and accountability frameworks in place ensuring its sustainability. 

“A new claims model has been implemented, creating competitive tension between six claims providers and enabling choice for medium to large ... private and public sector employers.”

icare declined to comment on the reasons behind Mr Harding’s earlier than expected departure, but confirmed Stuart Farquharson is interim CEO.

Mr Farquharson has been icare’s CFO since October 2022 and was previously CFO for Zurich, AIG, Citibank, Manchester Unity and Hollard.

“icare is undertaking a recruitment process for a new CEO, and will provide an update once this process is complete,” a spokesperson told insuranceNEWS.com.au.

“The CEO recruitment process has not been impacted by proposed changes that icare is consulting its staff on to continue improving efficiency and effectiveness.”

Under the proposals, group executive roles could be cut by 25% and senior leadership jobs by 20%, with a 7% reduction in roles across the organisation, which employs 1800 people.