Barclays to axe 100 staff in outsourcing move

Barclays Bank is to axe 109 jobs in the Welsh capital, Cardiff, under plans to outsource the unit that handles the accounts of deceased customers.

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Barclays to axe 100 staff in outsourcing move

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The move was greeted with dismay by the banking sector union Unite, which said it had grave concerns about outsourcing such a sensitive function.

In a statement, Barclays says the jobs will be transferred to a third party outsourcer based in Warwickshire beginning in Easter 2009.

"The unit would require significant technological investment to continue to operate efficiently and it has therefore been decided that the work of this unit is best continued by a specialist third-party supplier," says the bank in a statement. "This will result in a better service for customers and will save significant investment costs."

The latest move is a double blow for the Cardiff City workforce, following Barclays' decision in July to shutter its Firstplus loans operation with the loss of 300 jobs.

Unite described the latest pull-out as a "bitter blow" for the local workforce.

"The work of the highly trained staff which deal with the accounts of deceased customers should not be outsourced," says Unite officer Steve Pantak. "We are calling on Barclays to think again about this decision, for both the good of their customers and their staff in Cardiff."

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Comments: (1)

Daniel Smith

Daniel Smith CEO at Raisin Technology Europe and USA

I know.. it's not funny... but the idea that someone can have "grave" concerns about a department that handles the accounts of "deceased" customers does make me smile.

When all the restructuring is finished, will someone be doing a "post-mortem" analysis to see if the forecast benefits have really been achieved.

Maybe other banks will analyse their own processing in order to see if they should be "undertaking" similar initiatives.

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