Kelda set to cull 500 jobs as Ofwat price curbs bite deeper
Wednesday 08 December 1999
Announcing a 4 per cent rise in interim profits to pounds 122m, an 8 per cent dividend increase and a pledge not to cut the payout in future years, Kelda denied, however, that it was forcing employees rather than shareholders to pay for the cut in water bills by Ian Byatt of Ofwat.
Kevin Bond, chief executive of Kelda, said it was already planning 240 job cuts before the Ofwat announcement. The additional 260 redundancies are to meet efficiency targets set by the regulator.
The latest job losses will reduce Yorkshire Water's workforce to 2,200 compared with 3,500 three years ago and will cost pounds 25m but yield savings of pounds 5m-pounds 7m. They come on top of 1,100 job losses last week at Severn Trent. Further redundancies are due to be announced in the next three days by Anglian, Welsh Water, South West Water and North West Water.
The industry body, Water UK, has claimed that 9,000 jobs are at risk but at the present rate of cutbacks, the figure looks more likely to be around 7,000 jobs.
Mr Bond said the next logical step in its drive to improve efficiency was to be allowed to merge with other UK water companies. Mr Bond added that Kelda was looking for "bolt-on" acquisitions in the US following its $600m takeover of the Connecticut-based Aquarion water earlier this year.
- 1 Man who held up 'hire me' sign at Waterloo station returns a year later with 'I'm hiring' sign
- 2 UK weather: Snow to fall in the coming week with sub-zero temperatures to last until early February
- 3 Saudi preacher who 'raped and tortured' his five -year-old daughter to death is released after paying 'blood money'
- 4 Warriors in ancient Iraq suffered Post-Traumatic Stress Disorder more than 3,000 years ago, say researchers
- 5 This crazy skiing video will leave you feeling queasy
Paris attacks: Do not call Charlie Hebdo killers 'terrorists', BBC says
Rowan Atkinson to sell £10 million McLaren 'supercar' he crashed into a tree and a lamppost
UK weather: Snow to fall in the coming week with sub-zero temperatures to last until early February
Saudi preacher who 'raped and tortured' his five -year-old daughter to death is released after paying 'blood money'
Warriors in ancient Iraq suffered Post-Traumatic Stress Disorder more than 3,000 years ago, say researchers
Nigel Farage: NHS might have to be replaced by private health insurance
'We would evict Queen from Buckingham Palace and allocate her council house,' say Greens
French court convicts three over homophobic tweets, in case hailed as a 'significant victory' by LGBT rights campaigners
George Galloway condemns 'racist, Islamophobic, hypocritical rag' Charlie Hebdo at freedom of speech rally
British Muslim school children suffering a backlash of abuse following Paris attacks
Greece elections: Syriza and EU on collision course after election win for left-wing party
iJobs Money & Business
£30000 - £32000 per annum + benefits : Ashdown Group: A highly successful, int...
£18000 - £20000 per annum: Recruitment Genius: This rapidly expanding business...
£25 - 28k + Bonus: Guru Careers: An In-house / Internal Recruiter is needed to...
Negotiable: Recruitment Genius: A Tax Assistant is required to join a leading ...