The trade union Unite is opposing plans by the publicly-owned bank, Northern Rock, to make compulsory redundancies.
The union is seeking assurances that the workforce will be reduced through voluntary means only.
Graham Goddard, Unite deputy general secretary, said that the announcement would cause “further anxiety” for the workforce: “The union will be working to mitigate the implications of the recent crisis on the employees, who have been working tirelessly to ensure there is a sustainable business in the future.
“Unite will now be pressing the company for the detailed plans and will oppose any plans for compulsory redundancies. Through negotiations we will press Northern Rock to ensure that employee terms and conditions are protected.”
The union said that re-training and the exploration of ‘alternative’ business opportunities may cull the number of job losses.
Ron Sandler, executive chairman for the troubled bank, said: “As regards the organisational restructuring, we will work sensitively with our staff and Unite to minimise the extent and impact of job losses. We are already closely engaged with local agencies, including One NorthEast, to ensure that affected staff are offered as much support as possible. I am determined that Northern Rock will remain a major employer in the North East with sufficient financial strength and stability to allow it to return, in due course, to the private sector.”
