Zurich to axe 900 UK staff

by David Masters

Story link: Zurich to axe 900 UK staff

Zurich Financial Services is to axe the jobs of up to 900 UK staff as part of a drive to cut costs 10% by the end of 2008.

This cost cutting exercise has been made necessary by extremely difficult market conditions and strong competition.

According to Zurich, the job cuts will ensure a sustainable and profitable future for the company, increase its effectiveness and efficiency, and allow the group to achieve its ‘ambitious growth plans’.

Zurich also expects that with less staff, it will be able to take better advantage when market conditions start to improve.

Of Zurich’s 5,400 UK-based employees, between 700 and 900 face the prospect of redundancy by the end of September. Zurich has yet to announce which departments will face cuts, leaving all staff feeling insecure and uncertain.

Despite Zurich’s claim to be cutting back on costs, it is currently one of the leading bidders for RSBI’s multi-billion pound insurance assets.