Norwich Union to restructure its Life business services division

Article date: 9 June 2004

Norwich Union is to restructure its Life business servicesdivision, which includes IT, facilities management and businesssystems. While difficult for the staff concerned, the restructureis necessary to further reduce costs and increase flexibility inresponse to changing market conditions. The restructure, which willbe completed by the end of 2005, will result in approximately:

  • 700 job losses
  • A reduction of 250 contract worker positions.

The work currently undertaken by the affected teams,predominantly software development and application support, will betransferred to IT outsourcing companies who have global operationsincluding locations in the UK, elsewhere in Europe, America andIndia.

Norwich Union will do all that it can to find opportunities forthe redeployment of staff affected by the changes to alternativeroles, however, unfortunately, the company expects the majority ofthe job losses will be compulsory. Norwich Union has set aside £1million to provide career advice and support for the staff affectedby these changes.

Five Norwich Union Life locations will be affected by thereduction in staff numbers which the company anticipates willbe:

  • Norwich 250
  • York 150
  • Bristol 150
  • Stevenage 100
  • Croydon 50

The reduction in contract worker positions will be across thecompany’s sites in Norwich, York, Stevenage and Bristol.

Commenting on the announcement, Gary Withers, Norwich UnionLife’s chief executive, said: "Decisions that affect staff inthis way are never easy to make. However, recent market conditionsin the UK long-term savings market have been tough and we have toensure that the company continues its drive for efficiency. We willdo everything we can to help and support staff during thesechallenging times and we will ensure they are kept fully informedthroughout this process."


Press office contacts: Out of hours
JamesEvans 01904 452791 07790 487105
Louise Soulsby 01904 452617 07810 057362

Notes to editors

  • Norwich Union and its parent company Aviva employ 33,000 staffin the UK, 15,000 of whom are employed in the Life business. TheLife business services division currently employs 1,400 staff and350 contractors. After the restructure, business services willemploy approximately 700 staff and 100 contractors
  • Norwich Union is the UK’s largest insurer. It is thelargest provider of life, pensions and investment products and oneof the leading IFA providers. Norwich Union has strategicalliances with building societies and other leading UK brand namesincluding Tesco Personal Finance and The Royal Bank of ScotlandGroup
  • Norwich Union’s news releases and a selection of imagesare available from Aviva’s internet press centre at

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