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2,000 job cuts planned by Direct Line

2,000 job cuts planned by Direct Line
27 June 2013
Kardelen Yuce
Avatar
Kardelen Yuce
27 June 2013

The insurance company Direct Line is working to cut around 2,000 jobs to increase cost-cutting measures. Direct Line has claimed that the majority of the expected job losses would come from its head office.

The group, Britain’s leading motor insurance which also owns insurance providers Churchill, said it launched plans to find opportunities for employers in order to guide those affected by the cuts.

Last year, more than 1,200 cuts were made and this year the figures have practically doubled. Three main sites are expected to close, including those in Croydon and Central London. In Liverpool, a site where nearly 500 staff are currently employed is due to close.

Recent job cuts represent 14% of the company’s current workforce. Direct Line’s motive is to increase its original cost savings target to over £200 million in gross annual savings by next year.

The closure of a call centre in Teesside has already been confirmed, yet it is alleged that there are still more than sixteen sites to be closed across the UK.

Former group chief executive, Paul Geddes, said that they had “not made these proposed changes lightly”.

Geddes continued: “We will deal fairly and carefully with those impacted, and do all we can to support them through these changes.”

Direct Line said they anticipated offering staff who are affected by the cuts new positions where possible and supporting others in finding new employment opportunities.

Kardelen Yuce

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