Lloyds Banking Group announces 1,080 job cuts, but IT safe

Derek du Preez

Lloyds Banking Group has announced that it will be cutting 1,080 jobs across a number of divisions and outsourcing an additional 310 roles, but the bank has confirmed to Computerworld UK that its IT staff are safe.

All affected employees have been briefed by their line manager today and the banking group has said that compulsory redundancies will be a last resort. It said it will look to offer voluntary redundancy where possible.

The job losses form part of the 15,000 cuts since June 2011.

Unite Union has branded the losses as "unacceptable" and has requested an urgent meeting with the bank to discuss its concerns.

The news that IT divisions are safe from the cuts will be some comfort to customers that were impacted by Lloyds' recent outage which meant that thousands of ATMs, debit cards and credit cards were out of action on Sunday for three hours.

TSB CEO Paul Pester denied that the problems were related to IT outsourcing and tweeted that the "issue was caused by a HP server failing here in the UK".

TSB, which has approximately five million UK customers, is in the process of being split from Lloyds Banking Group, and still relies on the Group's IT systems.