No excuses

In the wake of insurance giant Aviva’s takeover of pensions company Friends Life in December, reports emerged today (January 19) that Aviva will seek £225m in annual cost savings.

Unite has warned that the savings must not come at the cost of jobs following the takeover, which was worth ÂŁ5.6bn.

The union has argued that the relentless drive to cut costs will weaken the future of the company, and that customer service would suffer as a result if staff terms and conditions were eroded.

Unite represents about 4,000 members across both companies.

“Unite will be seeking assurances from Aviva that the takeover of Friends Life will not be used as an excuse to slash jobs and erode terms and conditions of staff in the pursuit of £225m cost savings,” said Unite national officer Dominic Hook.

“Unite will actively engage with Aviva and Friends Life to avoid job losses,” he added. “The skills and experience of the long serving staff across Friends Life and Aviva will form the basis of the future success of the new company.

“Now both Aviva and Friends Life need to give their staff clarity and assurances about the future of the combined workforce in the new company.”