1,800 insurance jobs set to go

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The Independent Online

Insurance group Aviva today warned it expected to make between 1,500 and 1,800 redundancies by the end of 2010.

The job cuts will be made as the company looks to consolidate its general insurance operations into seven centres at Norwich, Perth, Bishopbriggs, Stretford, Manchester, Leicester and Southend.

It said it would be withdrawing from Dundee, Glasgow city centre, Leeds, Sheffield, Liverpool, Cheadle, Birmingham, Bristol, Southampton, Basildon, Ipswich, Exeter and Worthing. This will happen over the next two years.









After a number of mergers and acquisitions, Aviva said its Norwich Union Insurance operations had become complex, with too many products, processes, systems and locations.

The company employs 30,000 people in the UK, with around 18,000 staff working in general insurance in 52 towns and cities in the UK. The changes announced today will impact on 22 locations, with staff also being moved to smaller accommodation in the same area.



Aviva will still have a presence in many of the locations mentioned today as the sites also house staff working for other parts of Norwich Union.









Norwich Union is the UK's largest general insurer with a market share of around 15 per cent. It is also a leading provider of life, pensions and investment products.

It said the number of roles in general insurance will be reduced over the next two years, with the company looking to transfer employees to other locations or to other parts of the business.



Aviva expects that this approach, along with normal staff turnover, will mean there will be around 1,500 to 1,800 redundancies by the end of 2010.



Igal Mayer, chief executive of Norwich Union Insurance, said: "We are a very strong business that has grown over the years into a complex organisation. We want to deliver excellent, consistent and reliable customer service with market-leading efficiency.



"To achieve this we will need to fundamentally simplify our business, consolidating our expertise into seven insurance centres of the future in the UK.



"This is a transformation that will take place over the next two years and will provide our employees with the products, processes and technology to give our customers and business partners excellent service, right the first time, every time."

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