Lloyds TSB cuts more UK IT jobs
The UK-based IT department of the fifth largest bank continues to dwindle as more jobs go overseas.
Lloyds TSB has announced another 450 IT jobs are to go in the UK as it continues to export more of its key technology based operations to India.
This round of cuts, starting in June and lasting 12 months, involves up to 250 permanent IT roles and 200 contractors from the bank's technical delivery division, responsible for software development and design.
"Information technology is the backbone of our business and by combining the diverse skills of our staff with those of other companies we can provide the best possible service to our customers," the bank said in a statement.
It also said it would guarantee permanent staff affected new roles somewhere else in the organisation and is offering them each a 2,000 training bond to re-skill.
The fifth largest bank has been on a long-term outsourcing strategy that has seen its UK IT job numbers dwindle.
Over the past couple of years it has entered into a wide range of outsourcing agreements, the most recent of which saw it extend its relationship with Xansa last November to deliver complex, industry-specific back office processes. And its Indian suppliers include Tata Consultancy Services, Cognizant and Wipro.
As a result, the Lloyds TSB Group Union (LTU) pointed out that, out of the six IT Platforms affected by this phase of the offshoring programme, only 30 per cent of all jobs will be based in the UK, with the other 70 per cent being based in India.
The LTU also said it expects all remaining 2,400 UK staff to go eventually.
"Once this phase of offshoring is complete, the Union expects other areas of the Information Technology Division's 2,400 UK-based workforce to follow suit, with many hundreds more IT jobs transferring to India as a consequence," it stated.
The 1,300 majority of remaining IT staff are based in London, while 460 are in Wythenshawe near Manchester. Another 150 are based in Gloucester, with 120 staff each left in Birmingham and Bristol.
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