Jobs to go at HBOS as Lloyds TSB looks to £1bn savings
Thursday, 18 September 2008 12:04
The merger of Lloyds TSB and HBOS could result in thousands of job losses, it was warned today.
Lloyds TSB has stated following the merger of the two banks will "cost synergies" of over £1 billion per year by 2011.
Cuts are expected to come in the form of staff as well as the closing of centres where work is repeated.
HBOS currently employs 72,000 people and Lloyds TSB has a workforce of 67,000.
Even if just ten per cent see job losses almost 14,000 could be out of work.
Together the two firms have 3,200 branches.
"It is a shame they had to come together," said Katie Tucker at Mortgage Force.
"They will not need two branches in every town."
A spokesperson for Lloyds TSB said: "It is far too early to say how say reorganisation pans out. We will have to see what develops over the months over all aspects and it will take months."
Unite deputy general secretary, Graham Goddard said: "Staff working in the financial services should not have to pay the price for the greed and excess of the short sellers and speculators.
"We do not believe that there should be any compulsory redundancies.
"Thousands depend on HBOS and LTSB for their livelihoods. Unite will oppose any attempts to make compulsory redundancies."
Mr Goddard called on the board of Lloyds TSB to "remember the real people working for them who are not responsible for the credit crunch".
Lloyds TSB has confirmed the combined firm would keep HBOS's Scottish headquarters.
"In addition the management focus is to keep jobs in Scotland," the firm stated.
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