It has emerged that the Royal Bank of Scotland has plans to cut 3,500 jobs within its technology services and business operations. The individuals affected by these cuts will be full time IT workers as well as IT contractors. It is expected that 2,500 individuals within the business services division will lose their jobs whereas 1,000 IT workers in technology services will go.
These cuts are due in 2012. RBS have already axed 9,000 jobs back in April this year and 500 job cuts have already been announced in the wealth management section, which will come into force in June.
Contractor UK spoke to the RBS spokesperson about the announced cuts and, in particular, how they will affect contractors currently working there and the opportunities for contractors with the bank in the future. The spokesperson confirmed that at the moment there is no temporary hire freeze. However, they did say that they are committed to protecting their permanent employees and have, therefore, been reducing the number of contractors they work with.
Speaking about the job cuts, an RBS statement read: “Having to cut jobs is the most difficult part of our work to rebuild RBS and repay taxpayers for their support. We continue to make efficiencies across our business and adjust our plans in line with the divestments we have been required to make by the EU.”
However, an additional 500 IT jobs are also set to be moved offshore to India, the Far East and the USA.
The spokesperson concluded: “We continue to move roles between countries including roles coming to the UK, and roles moving elsewhere, so as to maximise our efficiency and global capacity.”