Energy giant nPower has confirmed that around a 1000 people in the Midlands are to lose their jobs.
The company plans to outsource much of its consumer service and back office functions. The redundancies - which include 550 at the Stoke-on-Trent office, and 400 at offices in Oldbury - will take place over the next eight months.
nPower's Roger Hattam believes the cuts are necessary to keep customer bills as low as possible.
The chief executive of npower said its restructuring proposals aim to deliver a more "efficient, flexible and improved customer experience".
Paul Massara said in statement:
I understand that these changes would be incredibly hard for some of our employees and we’ll be doing everything we can to support them over the next few months.
This restructure is necessary if we are to deliver the levels of service our customers deserve.
We would have the flexibility to keep call waiting times down during busy periods, and continue to keep costs down so we can keep bills down.
Energy giant npower, owned by German company RWE, said its customers would continue to be served on the phone by people based in UK call centres under its restructuring proposals.
However, back-office functions would be outsourced to India, npower said in a statement.
Energy company npower has confirmed it is planning 1,460 redundancies in the UK as part of restructuring plans.
Under the proposals, the main impacts regionally would be:
- npower's offices in Stoke on Trent would close, affecting 550 employees
- One of three offices in Oldbury would close and around 400 face redundancy
- Around 430 employees face redundancy at Rainton Bridge, Sunderland
- Approximately 80 employees at npower's site in Leeds face redundancy
- npower's site in Thornaby would close, but all roles would be relocated to Rainton
- Although there would be no redundancies at the Peterlee offices, several teams will be moved between the Rainton and Peterlee offices
The firm said around 540 existing staff will be transferred to retail outsourcer Capita "to allow customers to benefit from the expertise of npower's existing employees".
550 people have been told today they will lose their jobs at nPower in Stoke-on-Trent. The company said it is closing its operation there next June.
The company has been in Stoke-on-Trent for about 20 years.
We're operating in extremely tough times and we've had to look at what's right for the long-term future of the company.
We also have to keep our costs as low as possible when our customers are seeing bills going up due to a range of external factors.
Energy firm npower has confirmed around 1,460 staff members in the UK will be made redundant as more work is outsourced to India.
Hundreds of people in the Midlands are expected to be told by energy provider nPower this morning that they are to lose their jobs.
It is thought 1400 jobs in the UK will be moved overseas with the company's office in Stoke being shut down.
The energy giant employs around 2500 people across the Midlands and also has sites in Solihull, Worcester and Oldbury.
Up to 1,000 new jobs could be created in Ashfield and Mansfield as part of plans to turn a 45-acre site into a business park.
Ashfield District Council says the site near Junction 28 of the M1 will be good for the local economy.
A man who wrote speeches for the head of the United Nations says he is dismayed he can not get work, despite applying for hundreds of jobs.
Adam Pitt from Derby spent two years working in China, during which time he wrote speeches for UN Secretary General Ban Ki-moon.
Official figures today show unemployment in the East Midlands has risen by a thousand in the three months to August.
The president of Birmingham Chamber of Commerce has said that today's employment figures highlight a rise in the number of job opportunities available at West Midlands companies. However, he believes more still needs to be done to get people into employment in the region.
The number of manufacturing firms looking to recruit has increased to 50 per cent, up from 45 per cent last quarter.
Export growth in the region is rising rapidly and the economy is showing signs of stability, but there is still a fundamental disconnect between skills and what businesses need in the region, especially in urban areas.
The Chamber is very proactive in supporting initiatives which will help bridge the gap between employers and education, such as the Skills Show on 14-16 November at the Birmingham NEC aimed at helping to connect young people with business.