Company says 2,000 job cuts are part of £400m savings plan. Aviva employs 31,200 people worldwide

Tim Lezard

AvivaUnite officials have reacted furiously to the announcement that the insurance company Aviva is to cut redundancy pay in the UK at the same time as cutting 2,000 job cuts worldwide.

The company says the cuts are part of £400m savings.

Chief Executive Mark Wilson told staff the cuts would equate to around 6% of Aviva Group’s global workforce

In addition to reducing redundancy payments from 1 month for each year of service to 2 weeks, payments will be capped at a total of 78 weeks.

Unite fears that UK jobs are under threat from today’s announcement which would be on top of 800 redundancies already announced last year.

Unite national officer, Dominic Hook said: “Once again finance staff are being forced to pay the price for boardroom failure.

“Aviva has also announced plans to slash redundancy pay, with longer serving staff losing more than a quarter of their entitlement.

“To cut redundancy pay so drastically when there is deep uncertainty over job security is a callous and disgraceful act.

“Since the departure of [Chief Executive] Andrew Moss less than 12 months ago the UK workforce, which is the backbone of the company, has suffered job cuts, pay freezes and now faces an attack on their redundancy terms, when the company is planning more cuts.

“Unite will give staff all the support possible to oppose any job losses in the UK and the cuts to redundancy terms.”

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Tim Lezard

Campaigning journalist, editor of @Union_NewsUK, NUJ exec member; lover of cricket, football, cycling, theatre and dodgy punk bands

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