RBS 'plans to cut 880 London IT jobs'
Unite: Bank's downsizing will hit permanent staff and contractors

The Royal Bank of Scotland (RBS) is slashing its London IT function by 40% in a cost-cutting exercise it expects to complete by 2020, according to Unite.
The union claimed this 650-role reduction in permanent staff, coupled with a planned 65% cut in contractors of 230 roles, will equate to 880 lost jobs.
RBS didn't confirm the number of expected job losses, but its London IT staff will number 950 after the cuts. The union revealed another 300 UK IT role redundancies at the bank in May as the bank continues to downsize, though RBS said at the time that, coupled with new jobs, the figure actually stands at 92 redundancies.
Rob MacGregor, Unite national officer, said of the latest cuts: "By 2020 just a fraction of the RBS IT function will remain, leaving this organisation operating a skeleton service with the customers and remaining staff paying the price.
"RBS's fixation with cutting employee numbers, restructuring and offshoring work that could reasonably be done by displaced staff within the RBS IT community is unacceptable. This British taxpayer-funded bank should be concentrating on investing in jobs here in the UK, rather than wholesale cuts."
The government bailed out RBS in 2008's financial crisis, and still holds a 71% stake in it.
An RBS spokesperson said: "Inevitably as RBS becomes a simpler, smaller bank focused on the UK and Ireland, our technology function will undergo reorganisation and will reduce over time.
Get the ITPro daily newsletter
Sign up today and you will receive a free copy of our Future Focus 2025 report - the leading guidance on AI, cybersecurity and other IT challenges as per 700+ senior executives
"As we develop long term plans for our technology business, we have in the interests of transparency, started to share our emerging proposals on a future operating model with Unite. We have not consulted on any headcount reduction, instead sharing a direction of travel with Unite which is subject to change."
They added: "Our proposed plans are designed to reduce the number of contractors we employ and strengthen our permanent workforce and while we are downsizing in London we are reinvesting in other UK hubs."
Picture: Bigstock
-
RSAC Conference day two: A focus on what attackers are doing
From quantum to AI, experts discussed how new and experimental technologies could be used by hackers to access and decrypt sensitive data
-
The IT industry’s shift to circular, low-carbon solutions
Maximize your hardware investment and reach your sustainability goals with HP’s Renew Solutions
-
Protecting CIOs' IT budgets is "paramount" in maintaining business growth
News If CIOs are forced to make emergency budget cuts, they should also explain the risks to high level stakeholders so the responsibility is shared
-
The IT Pro Podcast: Accelerating digital transformation
IT Pro Podcast Implementation is just as important as the value of change
-
Podcast transcript: Accelerating digital transformation
IT Pro Podcast Read the full transcript for this episode of the IT Pro Podcast
-
Fit-for-purpose IT infrastructure for digitally determined organisations
Whitepaper Your innovation engine: Guiding organisations through change in the new digital economy
-
IT Pro News in Review: CIOs face a challenge, Ofcom's telecom fines, Apple expands Xcode
Video Catch up on the biggest headlines of the week in just two minutes
-
CIO role has 'drastically changed' over last 24 months, says Lenovo
News Globally survey suggests chief information officers have greater influence over their company now the role has expanded beyond technology
-
How can CIOs help to close the tech skills gap?
In-depth The most well-equipped IT leaders can take a number of practical steps to close the divide within their organisations
-
What is a virtual CIO (vCIO) and does your business need one?
In-depth With tech skills in short supply, organisations are turning to temporary expertise to see through critical digital transformation projects