Union welcomes job loss agreement

A union for staff at an energy firm that is closing an office with the loss of 339 jobs, has welcomed a decision not to insist on new redundancy terms.

Prospect said German-owned power giant E.ON wanted new redundancy terms that would have reduced staff entitlements.

The union said it was angry that E.ON revealed the new terms and then closed Wherstead Park near Ipswich, Suffolk.

E.ON said it had recognised the impact of the closure and was delaying the implementation of the new terms.

Uncertainty caused

Following discussions with senior management Prospect has received commitments that E.ON will consult on any future redundancy terms.

Mike Clancy from Prospect said: "By reacting quickly to our members' concerns and dealing directly with senior company officials we have been able to address the issues and prevent the situation deteriorating."

E.ON director Peter Haigh said: "We have recognised the impact of the changes to redundancy terms so close to the Wherstead Park announcement.

"We also recognise the uncertainty that this has caused."

Staff are being offered the opportunity to transfer to an office at Rayleigh in Essex but the Wherstead Park jobs are going to be relocated to E.ON's Coventry base.