NTL to outsource or axe 6,000 jobs

Communications firm NTL has confirmed that it will outsource or axe 6,000 jobs by the end of 2007 as it completes the integration of rival company Telewest.

NTL acquired Telewest for £3.4bn and is now looking to deliver cost savings of £250m through outsourcing and reducing operational duplications.

As part of the restructuring plan, around 1,500 call centre jobs in Swansea and Liverpool will be outsourced to IBM. A small number of posts in Teeside will also move to the outsourced operation.

A further 4,500 jobs will be axed as a result of the outsourcing process through both natural wastage and voluntary redundancy.

The firm, which admits there will be some compulsory redundancies, also plans to slash the number of temporary workers it employs.

The Communication Workers Union (CWU) welcomed the decision to first seek any job reductions through natural attrition, voluntary redundancies and reduction of contractors, only pursuing compulsory redundancies as a last resort.

It also welcomed the decision to keep the first wave of 1,500 outsourced customer contact centre operations within the UK, rather than offshoring these jobs.

Brian Healy, CWU assistant secretary, said: “This means that employees will retain their current terms and conditions, and customers can expect continued high standards of customer service.

“We are now awaiting a formal response from the company finalising locations that will be affected and the details of transfer agreements. We will then be seeking discussions with the company to ensure that the interests of our NTL and Telewest members are fully protected.”