Axa to make 560 workers redundant

Axa Insurance has it largest office in the UK in Ipswich

Insurance company Axa is to lay off 560 workers across the UK, including 120 at its largest base in Ipswich.

The French-owned firm said that it had decided the cuts were essential to "build a stronger and more efficient business for the future".

Axa hopes many of the job losses can be achieved through "natural wastage" and redeploying staff. It said it would manage the process with "sensitivity".

The company also has offices in London, Bolton, Manchester and Birmingham.

About 1,600 people work at the Ipswich site, which employs staff in sales, claims and administration.

An Axa spokeswoman said the firm could not yet say which other offices would be hit by job cuts.

'Extreme measures'

Chief executive Philippe Maso said: "Today, I am announcing important changes in our business which are a necessary step towards profitability.

"We must ensure we are growing the right areas of our business.

"To do this, we must move away from unsuccessful and unprofitable product lines."

He said the firm needed to "ensure we are in the best shape possible".

"This will mean a reduction in roles in our business and, although we have taken as much action as possible to reduce costs without impacting roles, some reduction was inevitable," Mr Maso added.

'Disappointed'

"Although I am sad that we had to take such extreme measures, I am utterly convinced they are right to build a stronger and more efficient business for the future."

Rob MacGregor, national officer for Unite - which represents workers at Axa, said: "Unite is disappointed that Axa has decided to make 560 job cuts from their insurance division.

"Unite will be meeting with our members over the coming days in order to discuss with them the impact of this news.

"Now the priority of the union is to work with Axa in order to minimise any compulsory redundancies through opportunities for redeployment within the Axa UK group."