18-03-2008
Northern Rock confirms job reduction plans
News by Adfero for Simply Business - independent providers of public liability insurance, business finance, landlord insurance, buy-to-let mortgages & commercial mortgages.
Troubled financial institution Northern Rock has confirmed plans to cut a large number of jobs.
As part of plans to restructure the organisation, the bank has confirmed that approximately 2,000 jobs are to be axed by 2011.
The move follows the nationalisation of the Newcastle-based bank on February 22nd 2008.
"The union will be working to mitigate the implications of the recent crisis on the employees, who have been working tirelessly to ensure there is a sustainable business in the future," said Graham Goddard, deputy general secretary of trade union Unite.
Northern Rock's current situation stems from difficulties in the raising of funds in the money markets last year.
Consequently, in September 2007, Northern Rock made an approach to the Bank of England in an effort to secure support.
Northern Rock was originally established in 1965 and has its headquarters based in Newcastle-upon-Tyne.