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Collective redundancyLatest NewsJob creation and lossesRedundancy

Babcock International to cull 1,000 jobs

by Ashleigh Webber 13 Apr 2021
by Ashleigh Webber 13 Apr 2021 Troy GB images / Alamy Stock Photo
Troy GB images / Alamy Stock Photo

Defence specialist Babcock International is to cut 1,000 jobs in order to improve efficiency and reduce ‘siloed’ working.

The company, which is the government’s second largest defence contractor and provides maintenance and support for the UK’s nuclear submarines in Scotland, announced plans to change its operating model as it reported lower turnover and operating profit for the year to 31 March 2021.

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It plans to reduce management layers to create a “simpler, flatter structure… improve line of sight, shorten communication lines and therefore increase business flexibility”.

It said it wants to reinforce a “one company culture” by removing duplication of work that a previously “siloed approach” delivered.

It expected to make 1,000 redundancies within the next 12 months, at a cost of £40m. About 850 of the proposed job losses are in the UK.

Babcock International employs about 27,000 people in the UK, out of a global workforce of 30,000.

CEO David Lockwood said: “We are creating a more effective and efficient company through our new operating model and, in line with our new strategic direction, will rationalise the group’s portfolio to help strengthen our balance sheet.

“Through our new operating model, the future Babcock will be a better place to work, a better partner to our customers and will be well placed to capture the many opportunities ahead of us.”

Military and Defence sector HR opportunities on Personnel Today

Browse more HR opportunities in military and defence

Ashleigh Webber
Ashleigh Webber

Ashleigh is editor at OHW+ and HR and wellbeing editor at Personnel Today. Ashleigh's areas of interest include employee health and wellbeing, equality and inclusion and skills development. She has hosted many webinars for Personnel Today, on topics including employee retention, financial wellbeing and menopause support. Prior to joining Personnel Today in 2018, she covered the road transport sector for Commercial Motor and Motor Transport magazines, touching on some of the employment and wellbeing issues experienced by those in road haulage.

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