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Cutback plan revived

Lloyds to axe 865 insurance and wealth jobs

Lloyds Banking Group

The bank is also creating jobs

Lloyds Banking Group has revived plans to cut jobs announced before the pandemic and which had been put on hold.

The company, which owns Bank of Scotland and Scottish Widows, said 865 jobs will go in areas such as insurance and wealth management and follow the setting up of a joint venture with Schroders.

The majority of the jobs being lost are in non-customer facing posts.

Lloyds, which has about 65,000 employees, had warned of cuts in January and these cuts are steeper than originally announced.

It will also create 226 roles which leaves a net reduction of 639.

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A spokesperson said: “When the pandemic began in March, we suspended all planned structural changes and made a number of commitments to colleagues to give them as much support as possible during this period of uncertainty.

“This included continuing to pay colleagues in full regardless of their working circumstances and pledging that anyone placed on notice of redundancy would not leave the group before October, both of which we remain fully committed to.

“We will seek to redeploy wherever possible, with all colleagues given access to a package of training and support designed to help them secure their next position, whether within or outside of the group.”

Lloyds said the Accord and Unite trade unions had been consulted.

However, the Unite union said that it was worried about employees entering a jobs market “during very challenging times”.

“The pandemic has demonstrated the amazing resilience and flexibility of this workforce,” said Unite national officer Rob MacGregor.

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“The employer should not focus solely on cutting jobs and costs but instead the bank should invest in a workforce that has only shown loyalty, dedication and hard work through the good times, and the bad.”

Pizza Hut is also shedding jobs after announcing the closure of 29 of its 244 restaurants. This will impact on 450 jobs. It did not say which sites would close.

The planned cuts would leave it with 5,000 employees.

The restaurant chain said the cutbacks were part of a rescue deal “to mitigate the financial impact of Covid-19”.

“Despite a quick, Covid-safe reopening, sales are not expected to fully bounce back until well into 2021,” it said.

“We understand this is a difficult time for everyone involved,” it added.

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