Capgemini axing up to 450 jobs

IT giant Capgemini today confirmed job-cutting plans which could have a major impact on its Telford offices. It said it would be axing up to 450 staff.They are employed on contract around the country with Her Majesty's Revenue and Customs.

The first stage will see 44 jobs go at an office in Newcastle-upon-Tyne and the closure of an office in Basingstoke with the loss of 95 jobs.

Capgemini, which employs about 2,200 staff in Telford town centre, provides IT services in a deal called Aspire (A Strategic Partnership for the Inland Revenue), which is undergoing a cost-cutting review.

Capgemini Aspire chief executive officer David Boulter said: "Capgemini has undertaken a strategic review of delivery, which has concluded, having explored all other areas, there is now unfortunately a need to reduce staff costs to optimise delivery. As a result we will be making up to 450 redundancies across the business.

"We are currently examining implications for other Aspire sites including Telford where we are in constant and productive dialogue with employees and the PCS union.

"We will inform staff of the review recommendations by the end of this week."

Meanwhile, staff at GKN Sankey's autostructures section in Hadley, Telford, have rejected a 2.8 per cent pay rise.

A ballot of almost 700 staff was carried out, with 44 per cent voting against the rise, 36 per cent for it and 20 per cent not making a vote.

A GKN spokesman said a second ballot likely as the first "did not reflect the opinion of a majority of people".