Union calls for Lloyds TSB jobs safeguard

Nov 5 2008 by Adrian Pearson, The Journal

UNION leaders have called on banking giant Lloyds TSB to enter into talks aimed at safeguarding jobs amid warnings of mass redundancies.

Staff at the bank are expecting large-scale job losses following an almost completed merger with Halifax Bank of Scotland.

Bank bosses last night admitted it was “inevitable” the merger would bring about some redundancies as the businesses look to save £1.5bn by 2011.

Around 650 staff are employed on two North East call centres, with many more working in branches of both banks across the region. Nationally as many as 20,000 jobs could go, although Scottish politicians have been lobbying hard to ensure the brunt of those losses are felt in England and not Scotland.

Union bosses have warned the creation of the Government-backed “super bank” would see redundancies in every region.

Lloyds TSB Group Union has called on the bank to enter into early to talks in a bid to ensure any redundancies are voluntary.

Assistant general secretary Steve Tatlow said: “This is a big threat, and while the bank has not yet come up with a figure we know that before the latest savings figures were put together they were looking at many thousands of jobs going.

“It is difficult to see how after a merger call centres such as those in the North East could avoid mass redundancies.”

Unite joint general secretary Derek Simpson said: “It is completely unacceptable for the banks to continue fuelling speculation while leaving their worried staff in the dark.

“It is now time to start thinking about the human consequences of this takeover.”

HBOS employs around 150 people at its administration centre at Manors Business Park in Newcastle, while Lloyds TSB has around 500 workers at a call centre on Sunderland Enterprise Park.

Halifax has 22 branches in the region, while Lloyds TSB has 71 branches and a further three of its Cheltenham and Gloucester branches.

A spokeswoman for Lloyds TSB said: “We believe we can deliver £1.5bn of cost savings by the end of 2011.

“We have also stated that we believe the combination of Lloyds TSB and HBOS will generally provide enhanced opportunities for our employees. But inevitably there will be some rationalisation of the combined workforces and we will speak with the recognised trade unions to see how this can best be achieved.

“At this stage, any projection of potential job losses has not been factored in to this phase of work so far. It would therefore be misleading and inappropriate to give any indication just now.”