The summary sits under the headline on the news index page and is usually the opening paragraph of the release
Norwich Union is to restructure its Life business services division, which includes IT, facilities management and business systems. While difficult for the staff concerned, the restructure is necessary to further reduce costs and increase flexibility in response to changing market conditions. The restructure, which will be completed by the end of 2005, will result in approximately:
- 700 job losses
- A reduction of 250 contract worker positions.
The work currently undertaken by the affected teams, predominantly software development and application support, will be transferred to IT outsourcing companies who have global operations including locations in the UK, elsewhere in Europe, America and India.
Norwich Union will do all that it can to find opportunities for the redeployment of staff affected by the changes to alternative roles, however, unfortunately, the company expects the majority of the job losses will be compulsory. Norwich Union has set aside Ł1 million to provide career advice and support for the staff affected by these changes.
Five Norwich Union Life locations will be affected by the reduction in staff numbers which the company anticipates will be:
- Norwich 250
- York 150
- Bristol 150
- Stevenage 100
- Croydon 50
The reduction in contract worker positions will be across the company’s sites in Norwich, York, Stevenage and Bristol.
Commenting on the announcement, Gary Withers, Norwich Union Life’s chief executive, said: "Decisions that affect staff in this way are never easy to make. However, recent market conditions in the UK long-term savings market have been tough and we have to ensure that the company continues its drive for efficiency. We will do everything we can to help and support staff during these challenging times and we will ensure they are kept fully informed throughout this process."
-ends-
Press office contacts: Out of hours
James Evans 01904 452791 07790 487105
Louise Soulsby 01904 452617 07810 057362
Notes to editors
- Norwich Union and its parent company Aviva employ 33,000 staff in the UK, 15,000 of whom are employed in the Life business. The Life business services division currently employs 1,400 staff and 350 contractors. After the restructure, business services will employ approximately 700 staff and 100 contractors
- Norwich Union is the UK’s largest insurer. It is the largest provider of life, pensions and investment products and one of the leading IFA providers. Norwich Union has strategic alliances with building societies and other leading UK brand names including Tesco Personal Finance and The Royal Bank of Scotland Group
- Norwich Union’s news releases and a selection of images are available from Aviva’s internet press centre at www.aviva.com/media.