Norwich Union is to transfer nearly 1000 contract and full-time IT jobs offshore in a major restructuring of its Life insurance business services division.
Norwich Union says the restructuring, which will be completed by the end of 2005, is necessary to further reduce costs and increase flexibility in response to changing market conditions. It will result in approximately 700 job losses and a reduction of 250 contract worker positions from sites across the UK.
The work currently undertaken by the affected teams, predominantly software development and application support, will be transferred to IT outsourcing companies who have global operations including locations in the UK, elsewhere in Europe, America and India.
Norwich Union says it expects the majority of the job losses will be compulsory.
The firm has set aside £1 million to provide career advice and support for the staff affected by these changes.
The latest job losses are in addition to 2350 UK-based positions which the firm has already earmarked for transfer to India.