More jobs could go following the merger of annuity providers Just Retirement and Partnership, documents published today reveal.
The two firms, who both suffered heavy share price falls on the back of the pension freedoms, are due to complete their proposed merger by the end of April.
In November, the insurers estimated around 5 per cent of staff would be cut in the first six months of the new company being formed, with an additional 10 to 15 per cent headcount reduction over the first two years.
However, in an update to investors today the firms say the figure could be higher than this.
The update says: “The integration team has undertaken a further and more detailed analysis across all business units which will, following completion of the merger, comprise the combined group.
“Although this further detailed analysis remains preliminary in nature and will, following completion of the merger, require agreement from each of those business units and, ultimately, approval from the board of directors of Just Retirement (the JRP Board) following completion, this analysis has highlighted that headcount reductions over and above those assessed at the time of the publication of the scheme document may be possible.
“The headcount reduction is now expected to be at least 20 per cent following the completion of the merger (excluding any reduction in headcount attributable to an anticipated rate of employee attrition).”