View more on these topics

2,000 jobs to go as Zurich shifts to general insurance

Zurich Financial Services is set to axe up to 2,000 jobs from its UK business, about 10 per cent of the total, after its parent group made a loss of £1.3bn for the first half of this year.

Chief executive James Schiro said the company had conducted a review of its operations since his controversial predecessor Rolf Huppi stepped down.

Schiro said 4,500 jobs would be lost globally and the company will be focusing on its key life and general insurance business. The company, best known in the UK for the Eagle Star and Allied Dunbar brands, wants to cut costs by 20 per cent within two years.

Zurich says it hopes the job cuts in the UK will be through natural wastage rather than redundancies.

Trade union Amicus general secretary Roger Lyons says: “Zurich has decided to slash and burn instead of standing back and looking at the longer-term picture. This will put the reputation of many household-name companies in jeopardy.”

Zurich media relations manager Sandra Paul says: “We are refocusing on the core businesses, including the life business. We are well positioned to capitalise on the opportunities offered by depolarisation with Zur-ich Advice Network, Zurich IFA and our strategic alliances. We will be announcing new alliances soon.”

Recommended

Unifi drive to highlight union value

Financial services union Unifi is planning to target the IFA market with a major initiative aimed at demonstrating the value of belonging to a union.Speaking to Money Marketing at the annual Trades Unions Congress conference in Blackpool this week, the 150,000-member union said it is planning a marketing campaign targeting RIs in IFA firms.Unifi says […]

Days of swine and roses

Spare a thought for the little piggies that are going to market to raise £1.6bn to save their bacon.Zurich Financial Services&#39 promise that pigs can fly has succumbed to the laws of gravity and the company has announced the closure of its much-hammed-up banking operations with job losses of up to 4,500.Clearly, Zurich is hoping […]

Pegrum leaves M&G

M&G has lost its British Opportunities fund manager Neil Pegrum, who is understood to be moving to Insight Investment.Pegrum will be replaced by Tom Dobell, currently manager of M&G&#39s recovery fund.

Talkback

“Certainly. Transparency is a big issue for with-profits. I can&#39t see any potential disadvantage for consu-mers in being honest as long as it does not frighten people and I do not think that is the intention.”Amy Stockdale, Campbell Insurance Services“Yes. I think it is important to make everyone aware of the situation. People need to […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment