BBC News Online: Business

ICL slashes 1,500 jobs

ICL hoped most of the posts would go through voluntary redundancy, but said it could not rule out compulsory lay-offs.

Unions slammed the timing of the news as "astonishing."

Few details

ICL employs about 17,700 people, of which 11,500 work in the UK.

The firm has sites in Bracknell, Reading, Slough, Manchester, Liverpool, Cardiff, Bristol, Belfast, Stevenage and London.

No details were given as to precisely where the job cuts might fall.

"As far as possible ICL wishes to achieve the necessary reductions through voluntary redundancy," a company statement said.

"Only if insufficient volunteers are forthcoming will the company have recourse to selected redundancies."

ICL said it aimed to complete the cut-backs by March next year and said all employees affected would be offered "guidance and support."

'Astonishing' timing

Unions condemned the move, saying it showed a lack of clear direction for ICL.

"ICL employees in the UK are being made sacrificial lambs because getting rid of workers in the UK is quicker, cheaper and easier than elsewhere in Europe," said Peter Skyte of the MSF Union.

"We want to see a credible plan for Fujitsu Services/ICL from April 2002 and a social plan for the UK workforce to avoid compulsory redundancy."

"The timing of this announcement in time for Christmas is astonishing."

Jobless total mounts

The news of job cuts at ICL came just hours after new unemployment figures showed that the number of jobless in the UK is back on an upward trend.

The number of Britons out of work and claiming benefit rose by 4,800 to 959,100 in November.

It is the first time since 1992 that the total has increased for two successive months.

On Tuesday, Consignia - the renamed Post Office - said it planned to cut up to 30,000 jobs over the next 18 months.