Bank of England to cut up to 100 jobs by 2015/16
The Bank of England is to make 80 to 100 job redundancies, after accepting the restructuring advice of management consultants.
Threadneedle Street announced today that it hopes to make £18m in savings by 2015/16 from the shake-up. The review, conducted by Deloitte, is designed to improve the efficiency and effectiveness of the Bank’s central services division, where around 1,000 of its 3,600 staff work. The division covers information technology, human resources and legal services.
The Bank’s new Governor, Mark Carney, called in Deloitte and another high-profile consultancy firm, McKinsey, shortly after taking up his new position last summer to review the bank’s operations. The move raised eyebrows because it followed complaints from Coalition ministers of Whitehall departments wasting money on expensive external consultants. The Bank’s newly-appointed chief operating officer, Charlotte Hogg, a former McKinsey employee, led the reviews.
The Bank said yesterday that some staff will be moved into new roles, while other jobs will not be filled as employees retire. However, it also implied that there would be jobs losses, subject to consultation with workers.
The Unite union, which covers Bank staff, objected to the “imprudent” move saying Threadneedle Street ought to “set an example” to private banks which are also shedding staff. “This constant insecurity across the financial services industry is extremely damaging for the staff, who continue to work under the hardest of conditions” said national officer Dominic Hook. He added that Unite would “strongly oppose” any compulsory redundancies.
The Bank said the £18m savings from the redundancies would be “re-invested across the business in order to support delivery of the Bank’s statutory objectives”.
The external consultants are also set to deliver a separate “strategic plan” for the central bank, examining its priorities, resources, working practices and allocation of time. Threadneedle Street said yesterday that the proposals would be announced “in due course”. It has refused to disclose how much the consultants are being paid.
Wellcome Image Awards: The most striking images from the world of science, including breast cancer cells under chemical attack and a photographer’s own kidney stone
Missing Malaysia Airlines plane: Terrorism explanation 'cannot be ruled out', says CIA
Bob Crow death: 'Admired by his members, feared by employers' - Tributes pour in for RMT union leader and 'working class hero' Bob Crow
Oscar Pistorius murder trial: Athlete repeatedly sick as court hears 'graphic details' of Reeva Steenkamp's post-mortem
How climate change helped Genghis Khan: Scientists believe a sudden period of warmer weather allowed the Mongols to invade with such success
Britain's top vet sparks controversy with call for ban on slashing animals' throats in 'ritual' slaughters for halal and kosher meat products
Poor 'live like animals' says Boris's privately educated sister after going on 'poverty safari'
Exclusive: Impact of immigrants on British workers ‘negligible’
Vince Cable: Teachers 'know absolutely nothing' about the world of work
Ukraine crisis: Russia pledges to 'retaliate against sanctions' as Ukrainian president says Crimea vote will not be recognised
The quiet diplomat: Catherine Ashton - recognised and admired in all the world’s troubled countries, yet ridiculed at home
- 1 Bad cattitude: Family call police after crazed and 'hostile cat with a history of violence' attacks baby before attempting to 'flee custody'
- 2 Family forced to flee home after discovering 'terrifying' nest of spiders in bananas
- 3 First Kiss: Filmmaker gets 20 strangers to make out on YouTube with awkward results
- 4 Grace Dent: Who cares if she spells it Barraco Barner? Gemma Worrall is more employable than some bookish arts graduate
- 5 Bob Crow death: 'Admired by his members, feared by employers' - Tributes pour in for RMT union leader and 'working class hero' Bob Crow
iJobs Money & Business
£1000 per month: Inspiring Interns: The company works with Tier 1 FTSE 100 Ban...
£35000 - £60000 per annum + Bonus + Benefits: Pro-Recruitment Group: You must ...
£60000 - £80000 per annum + BONUS + BENEFITS: Harrington Starr: A top, City ba...
VOLUNTARY ONLY - EXPENSES REIMBURSED : Reach Volunteering: Fantastic opportuni...