Aviva refuses to deny job-loss plan

UNITE trade union has said Aviva Ireland has neither confirmed nor denied reports that up to 500 jobs are to be lost at the company’s Irish operation.

The union and management at the insurance giant met twice yesterday amid fears of large-scale job losses as the company moves to restructure its European business.

Aviva management told the union that no decision has been taken on restructuring and that the company is not in a position to confirm any number of job losses speculated on in the media.

The company has said its intention is to communicate any restructuring proposals as soon as they can, although no timetable has been given.

The insurer is believed to be drawing up a major restructuring plan and Irish staff are expected to be told of these plans as early as next month.

An Aviva spokesman said: “Given the difficult economic environment in which we are all operating in Ireland, we are considering various options to ensure we have a sustainable and competitive business, providing excellent service and value for our Irish customers. Our review is still under way, so it’s too early to speculate on the final outcome.”

Unite regional officer Brian Gallagher said it was a “source of concern” that the company could not confirm or deny whether up to 500 jobs could be lost.

“Morale is on the floor. Our members are trying their best to lift the business in difficult circumstances and this lack of communication from management is very poor. We asked for a denial of the rumour that began spreading last night but that has not been forthcoming,” Mr Gallagher said.

“We have now requested that briefing of staff on the plans to date is given a top priority. It is unfair to expect staff to operate in a vacuum when they do not know if they will have a job in a few months’ time.”

Taoiseach Enda Kenny suggested that company bosses should make their intentions clear.

“I really am concerned here about the uncertainty that has been caused by the announcements that have been commented on in the media generally,” Mr Kenny said.

“This is causing great anxiety and concern for those who work in Aviva.”

Mr Kenny said the Department of Jobs and the IDA had been in direct contact with Aviva.

“But obviously the company themselves haven’t made their decision clear yet arising from the review of restructuring that they are currently conducting.”

Aviva Ireland employs about 2,000 people here, with more than half of these in Dublin. It has smaller operations in Cork and Galway as well as branch offices around the country.

Meanwhile, outsourcing pro-vider Arvato is to create up to 150 jobs in its finance division in Ireland over the next three years, with more than 30 vacancies currently available.

The roles — in IT, consulting, finance and accounting, project management and customer service — will support the increased demand for private and public best practice outsourcing services in Ireland and internationally.

Audi Waterford will create 30 jobs over the next two years at its new showroom, which is due to open in the summer of 2012.

The construction phase will also see 50 full and part-time jobs created.