Lloyds plans 1,040 job cuts to back office support staff
Lloyds Banking Group has said it is eliminating 1,040 back office positions. This brings the total jobs cut by the bank in 2020 to 1,900.
The roles lost are grouped around the bank’s technology and retail operations. Lloyds says that this fresh round of cuts is offset by the creation of 340 new roles elsewhere.
The bank says the changes reflect its “ongoing plans to continue to meet our customers’ changing needs”.
It adds that it needs to make parts of its business “simpler”.
The 1,040 job cuts come in the wake of 865 job losses announced in September. Those cuts fall on the lender’s insurance and wealth division.
UK trade union Unite says in a statement it “cannot comprehend” why the bank would make the cuts.
It says staff gave Lloyds “such commitment and dedication during a global pandemic”.
Lloyds is the UK’s largest provider of home loans, and one of its biggest backers of businesses. Last week, it posted a pre-tax profit of £1 billion in Q3 2020 on income of £3.4 billion.
The bank set aside £301 million to cover bad loans, after large-scale provisions sent it into the red earlier this year.
Chief executive, António Horta-Osório, said at the time the bank is experiencing an “encouraging business recovery”.
Horta-Osório, who joined Lloyds in 2011, is stepping down from his role in 2021.
A year of cuts
Lloyds is among a handful of major banks cutting back on staff numbers during 2020.
While some banks paused their restructures to support staff during the height of the COVID-19 pandemic, things are gearing up again.
Others announced major changes in the middle of the pandemic. HSBC France said in July it would downsize 38% of its global banking and markets roles.