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TOP NEWS: Centrica Announces 700 Job Cuts At British Gas

20th Apr 2016 11:49

LONDON (Alliance News) - Centrica PLC has unveiled plans to cut almost 700 jobs within its British Gas unit by closing an office in Oldbury in the West Midlands, a decision that has been criticised by the union that represents the majority of workers that will be affected.

GMB, the union that represents British Gas workers, said the plans to cut 684 office jobs was "completely out of the blue" and accused Centrica of seeing its staff as "pawns to be sacrificed when it suits".

Centrica announced plans on Monday to cut a further 3,000 jobs across the wider business, building on the 800 jobs that were slashed in the first quarter of 2016.

A spokesperson from British Gas told Alliance News that the job losses at Olbury were not directly linked to the cuts announced by Centrica on Monday, but said the majority of the job losses at Oldbury are part of British Gas' plans launched back in July 2015 to reduce its net headcount by around 4,000 members of staff before the end of 2017.

British Gas also issued its own statement regarding Oldbury, which said the cuts and the wider efficiency programme were both implemented in order to remain competitive in a "fast-changing energy market," adding the office was being closed as the company is consolidating its operations on fewer sites.

However, the union still seems surprised by the decision.

"This announcement has come completely out of the blue and is further evidence of the way British Gas now sees staff as pawns to be sacrificed when it suits," said Brian Sutton, national secretary of GMB.

"The Oldbury office has been performing well, the staff there have been delivering everything asked of them and more, yet all the while the company's top brass on their multi-million pound pay packages have been harbouring secret plans to shut them down," he added.

The union also highlighted that Centrica's peer nPower has also recently cut back operations in Oldbury, meaning the job losses are even more significant to the local area.

"GMB will fight British Gas to try to protect every job we can but today things look bleak for the Oldbury workers," said GMB's Sutton.

However, British Gas has also said it will attempt to save jobs where it can should the job losses at Oldbury go ahead.

"Over the next 45 days, as part of a full consultation process, the company will discuss the proposals and seek the views of employees and their representatives. If the closure of the Oldbury office is confirmed, British Gas Services would explore redeployment opportunities for people whose roles are affected," said British Gas on Wednesday.

Centrica shares were trading down 0.7% to 235.70 pence per share on Wednesday afternoon.

By Joshua Warner; [email protected]; @JoshAlliance

Copyright 2016 Alliance News Limited. All Rights Reserved.


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