Socialist Worker

Barclays plan to slash jobs

Issue No. 1712

Internal report reveals

Barclays plan to slash jobs

Barclays bank bosses are planning to slash their already depleted workforce massively in an information technology "e big bang". By doing so the bank aims to double its profits in three years.

The story, revealed by trade magazine Computer Weekly, will enrage Barclays staff who have already had to put up with job losses while their bosses rake in huge profits and bonuses.

Barclays has already doubled its profits in the first half of this year to 1.8 billion. Computer Weekly got hold of an internal document that suggested a "credible dictatorship" would be needed by bosses to ram through the changes, and that bank leaders would have to develop "a high tolerance of uncertainty".

Barclays chief executive Matt Barrett is quoted as saying he wants to use technology to transform "our internal infrastructure to make us more efficient and effective"-in other words, cut jobs.

The bank plans to outsource key jobs such as cash services, voucher processing and sorting operations, amongst others. It will move to more online services. Already information technology firm Unisys is being brought in to take over cheque processing.

Computer Weekly says that the drive to "e-transform" Barclays will involve a "corporate mindset change" which adds up to "controlled gambling" and bosses searching for new ways to maximise profits.

This drive is being repeated in the other big banks. The Bank of Scotland has already announced an outsourcing deal with computer giant IBM. The news comes as Barclays secured its 5.3 billion takeover of the Woolwich. This will mean 100 branches shut, 1,000 jobs axed and a 150 million "cost saving" over three years.

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Article information

Sat 2 Sep 2000, 00:00 BST
Issue No. 1712
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