THE finance industry has been dealt another big blow with news that Lloyds Banking Group is to axe almost 1,000 jobs.
Unions urged the group – formed by a merger between Lloyds TSB and HBOS – to do all in its power to avoid compulsory redundancies.
Rob MacGregor, national officer of Unite, said: “Unite see this announcement as the first test for the newly-formed Lloyds Banking Group to demonstrate its commitment to avoid compulsory redundancies.
“For the 985 people in LBG to learn that they are to lose their jobs will cause uncertainty for staff across the company. Unite the union is calling for LBG to ensure that the integration programme concentrates on saving jobs and preventing redundancies.”
Lloyds Banking Group was formed in January following the acquisition of HBOS and it is now the largest retail bank in the UK.
A spokesman said the job cuts, affecting staff who process motor finance, follow a decision taken last year by the Bank of Scotland.
The bank said about 200 jobs will go at Speke on Merseyside with another 340 to go at Chester. The rest will be among the national sales force across the country.
The announcement affects 985 full and part-time jobs over the next two years . The group said it was committed to redeploy as many workers as possible.
David Oldfield, managing director of asset finance at Lloyds Banking Group’s wholesale division, said: “The decision follows a detailed review carried out last year by Bank of Scotland.
“These changes reflect the financial performance of these business areas.
“We are committed to working through these changes with our colleagues carefully and sensitively and will seek to use natural turnover and redeployment where possible.”
The bank said it will still be the UK’s leading independent provider of point of sale motor finance.