B&B admits to plan to cut jobs

THE MANAGEMENT of Bradford & Bingley Building Society yesterday rushed out a staff circular in an attempt to allay fears about hundreds of job losses at the society.

Managers were responding to the latest edition of the society's staff association newsletter, which said that the society has embarked on a programme to cut 500 jobs, nearly 15 per cent of the society's workforce. In August Bradford & Bingley announced a 27 per cent drop in pre-tax profits to pounds 38.9m for the six months to 30 June.

Some jobs, the newsletter said, have already been axed but hundreds more are to go, including 300 from the head office in Bingley, West Yorkshire. The society is one of the largest employers in Bingley.

Gordon Lodge, Bradford & Bingley's general manager, resources, admitted that there were to be job cuts but said the society was trying to use natural wastage and offer alternative jobs in other areas. He said the circular being sent to staff explained the management's desire to keep redundancies to a minimum.

Mr Lodge said jobs would be lost at the head office over the next three years because the society was streamlining its administration. But he could not confirm the number involved. Even if it was 300, many people would be offered alternative employment, he said.

He admitted that the society planned to lose 88 jobs by closing 18 branches and an office in Portsmouth. The branches are mostly in the South of England and have come into the society's 300-strong network through mergers. The society has closed a further 15 branches since last year.