Another 990 jobs go at Lloyds

... that brings the bank's grand total up to 31,800. And there's more to come.

by Emma Haslett
Last Updated: 08 Feb 2012
Lloyds Banking Group has announced another 990 redundancies in Romford, Newcastle-upon-Tyne and Scunthorpe. The losses are part of 15,000 positions it said it was planning to cut during a strategic review in June, so at least its cull-count isn’t going up any more than we had expected. Although we doubt that’ll come as much consolation for the 1,000-odd people based in parts of the country that could, frankly, do without legions of job cuts...

The new redundancies bring the total number of cuts at Lloyds up to a grim 31,800 since Lloyds merged with Halifax Bank of Scotland in 2008 – although once it’s identified all the jobs it wants to scrap, it’ll be more like 43,000. Presumably, the goal is ultimately to pare it down to such an extent that it leaves just CEO Antonio Horta-Osorio in the chief/non-exec/chairman role, and perhaps a cashier or two to keep things running. These cuts will take place across group operations, wholesale banking and risk (probably not quite what politicians have in mind when they say they want banks to ‘eliminate risk’).

This is all part of Horta-Osorio’s plan to turn around the group, which is still 41% owned by the Government, having been rescued for £20bn. The good news for those affected is that he insists he wants to put many of them through (the rather sinister-sounding) ‘redeployment’. Apparently, in the last three years, Lloyds has found alternative employment for more than half of those it has made redundant. So there is, at least, hope…

Those who aren’t redeployed can at least take solace in the fact that they’re not the only ones going through it: National Australia Bank, which owns both Yorkshire Bank and Clydesdale Bank, said today that it’s planning to either sell off or restructure both its UK companies. For its 8,300 employees, that’s pretty ominous-sounding. So not a great day for banking in the UK…

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