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Fresh NU jobs blow

February 5, 2004 12:19

WORKERS were dealt a fresh jobs blow today as Norwich Union announced
it was axing its subsidiary firm Hill House Hammond � with the loss of
1,600 jobs.

Bosses revealed around 10 jobs would go at the Norwich branch in
Prince of Wales Roads and two dozen in Great Yarmouth and East
Dereham.

But Norwich Union chiefs insisted the job losses in the broker
business were not connected with the controversial decision to
transfer more than 2,000 call centre jobs to India.

Trade union Amicus today slammed the chiefs of parent company Aviva
because staff at Hill House Hammond were not allowed union
representation.

Amicus spokesman Mark Robinson said: "This is a tragedy that 1,600
jobs are going.

"Aviva managers did not allow trade union recognition in the company
and therefore they can make these job cuts without any representation
with staff.

"We hope this is not a trend and we will be monitoring the situation
very carefully."

The firm announced today that more than 240 Hill House Hammond offices
would be shut over the next year, with the motor, home and travel
insurance business switched to Norwich Union Direct and the commercial
insurance division sold off.

Around 1,200 workers will be made redundant and 400 staff will be
found alternative roles through Norwich Union's UK-wide redeployment
process.

Bosses said Norwich Union Direct would be creating more than 450 new
jobs in its call centres in the UK to help handle the business
transferred.

Around 150 of those jobs would be created in Norwich with more in
Sheffield, Liverpool, Perth and Bishopbriggs, near Glasgow.

Patrick Snowball, chief executive of Norwich Union Insurance, said:
"We are operating in an extremely competitive environment and have
seen significant changes in the way customers buy their insurance.

"Many customers now understand their motor or home insurance needs and
will shop around themselves for the best deal.

"The number of customers who shop on the high street to arrange their
insurance has also fallen significantly as many prefer to deal
directly with insurers by phone or over the internet.

"Making decisions that affect our staff is always difficult, but we
believe these changes are needed for us to remain competitive and
adapt to changing market conditions.

"We are writing to all HHH customers to inform them of these changes
as well as giving our reassurance that any impact will be kept to a
minimum."

The fresh wave of job losses comes hot on the heels of a swathe of
cuts over the past year.

On Tuesday, the Evening News reported that 105 posts at Norwich-based
NU Life would be moved overseas.

The firm sparked fury in December when it announced more than 2,300
jobs across the UK would be transferred to a call centre in India.

In August another 90 workers at the firm's city-based business
solutions team were made redundant.

In July last year the firm announced 900 jobs would be axed, including
300 in Norwich.

Around a dozen jobs were also lost in February last year with a cull
in the human resources section.