Type
Offshoring/Delocalisation
Country
United Kingdom
Region
Location of affected unit(s)
Manchester, Oldham (North West) and Solihull (West Midlands)
Sector
Utilities
Electricity, Gas, Steam And Air Conditioning Supply
Electricity, Gas, Steam And Air Conditioning Supply
35.2 - Manufacture of gas; distribution of gaseous fuels through mains
New offshoring locations

2,000 jobs
Number of planned job losses
Job loss
Announcement Date
15 July 2005
Employment effect (start)
1 January 2006
Foreseen end date

Description

British Gas will cut 2,000 jobs at sites in Manchester, Oldham and Solihull, up to 1,000 of these back office jobs will be outsourced to India. A British Gas spokesman said 'With new billing systems, we will not need anything like the number of back office data processors.' Job losses are unlikely this year, the company said in a statement, adding that it was still in consultations with unions. The Unison union called the cuts 'completely unacceptable' and warned that they may lead to strike action. This will be the company's first move to outsource work to India, but British Gas - owned by Centrica - was keen to stress that its customer service division would not be affected. The British Gas spokesman said: 'We have no plans at all to offshore any of our call centre work, we remain entirely committed to existing UK call centres.'


Sources

  • 16 July 2005: The Guardian
  • 15 July 2005: BBC News

Citation

Eurofound (2005), British Gas, Offshoring/Delocalisation in United Kingdom, factsheet number 61940, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/61940.