Unions condemn RBS job cuts

Royal Bank of Scotland cuts 1,400 jobs in its high street banking arm

Royal Bank of Scotland is axing 1,400 jobs in its high street banking arm in a move that unions described as "brutal and irresponsible".

Less than 48 hours after the bailed-out bank's chairman Sir Philip Hampton had indicated job cuts were on the cards, the 81% taxpayer-owned bank said it was restructuring its retail head offices in the UK, largely in London and Edinburgh. The 1,400 jobs will go in the next two years.

The swingeing cuts – the support functions being targeted employ 3,600 staff – are being masterminded by Ross McEwan, the new boss of the retail division.

Some 37,500 roles have already been lost at RBS under the group chief executive, Stephen Hester, who was appointed after the £45bn taxpayer bailout in 2008, and Unite, Britain's biggest union, said 700 of the latest cutbacks had been outlined to affected staff.

"This is brutal and irresponsible behaviour from RBS which is almost entirely owned by the taxpayer," said Unite national officer Dominic Hook.

RBS is cutting 1,400 jobs

"It is high time that the banks took their social responsibilities seriously. Since the start of the year RBS, HSBC, Barclays and Lloyds have announced plans to slash about 6,900 jobs. The industry almost caused the economy to implode in 2008 and now it is contributing to a jobs crisis."

HSBC warned on Wednesday that another 14,000 jobs would be lost in its operations around the world while Lloyds will have cut 40,000 since its £20bn bailout by the time its latest restructuring is completed at the end of this year.

McEwan said RBS, which last June was paralysed by a computer meltdown which stopped customers accessing their accounts, was investing £700m in improving services.

"Regrettably, we can only do that by restructuring the way we work in head office so that every effort is concentrated on supporting our customers and the frontline staff that serve them. This is clearly difficult news for our staff and we will do everything we can to support them, including seeking redeployment opportunities wherever possible to ensure compulsory redundancies are a last resort."

The union said the biggest impact would be on staff in the Gogarburn head office on the outskirts of Edinburgh with the rest of the cuts spread across the country. Two departments providing support to frontline staff are being cut by 80%, the union said.

Azure Global’s vision is to be widely recognized as a reputed firm of financial business advisors, achieving real growth for ambitious companies and to become the first choice for F&A outsourcing for accountancy practices and businesses alike for more info visit our site Azure Global and join us On Facebook

Article source : http://www.guardian.co.uk