MP moves to allay job loss fears

Mar 1 2008 by William Green, The Journal

NORTH East Minister Nick Brown has promised to keep a “close eye” on regional employment amid concerns of job cuts at a major Government department and Northern Rock.

Mr Brown said the North East was not being “disproportionately” affected by the planned 12,000 jobs losses at the Department for Work and Pensions (DWP) across the country, with any reductions managed carefully.

The DWP employs 13,400 staff in the region and “horrified” union bosses have warned the axe could fall largely on the thousands of workers at the 47 job centres across the North East.

The department’s plans are designed to help save more than £1.2bn over the next three years and come amid fears over the future of thousands of staff at Northern Rock as it is overhauled following nationalisation.

Mr Brown stressed the two issues of potential job losses at the DWP and Northern Rock were completely separate.

But he added: “For obvious reasons, I am keeping a very close personal eye on it.”

And the North East was not being unfairly affected by DWP changes, which was also connected to use of new technology, added the Labour MP for Newcastle East and Wallsend.

He revealed the DWP’s programme was being managed through redeployment and non-filling of posts over time. “The Department has been successful so far in pursing this policy,” said Mr Brown.

Newcastle-based campaign officer Brian Morrison, from the Public and Commercial Services (PCS) union, warned DWP job cuts could focus on high street job centres.

The majority of 5,000 people who work at the DWP’s Jobcentre Plus agency in the North East are employed in one of 47 job centres through the region, with the rest working in call and benefit delivery offices.

Mr Morrison said the union was “horrified” by the scope of the cuts and warned staff morale was at an “all-time low” with industrial action set to take place next month over a pay dispute.

He warned closing offices would hit communities, with staff no longer using local shops and facilities.

The DWP said it was too early to say what the regional impact of its proposals would be, but stressed there would be consultation and discussions first.