L&G announced up to 450 job cuts in February
The insurance firm Legal & General (L&G) has begun consulting on plans to cut 560 jobs in its savings business.
The planned cuts will be made up of 300 full-time staff and 260 contractors and temporary workers.
The cuts come on top of up to 450 job losses among support staff that were announced in February.
Legal & General currently employs about 8,500 people. Its main offices are in London, Cardiff, Brighton and Kingswood in Surrey.
"Potential redundancies are being driven by changing business demand, operational efficiencies, and the continued refocusing of the savings business towards modern, flexible, capital-lite products," a Legal & General spokesman said.
"L&G will keep any potential redundancies to a minimum and will try to find suitable alternative employment for staff affected," he added.
The Unite union described the announcement as "extremely disturbing" and said the distress would be compounded by the current economic climate.
"Unite has challenged Legal & General on the impact that this significant staff reduction will have on their plans for recovery following the current downturn," said Unite national officer Rob MacGregor.
"The union is calling on the financial services sector to ensure that they do not simply take short-term decisions to cut staff, without consideration for future levels of service and their ability to recover from the recession."
Unite said that it would oppose any compulsory redundancies.
L&G's move is the latest in a series of job cuts in the financial sector.
Rival insurer Aviva announced 1,690 cuts last month, while Royal Bank of Scotland is shedding 9,000 jobs and Lloyds Banking Group is to cut 985.