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Friday, November 29, 2019

Unions fear for 'thousands of UK jobs' as energy firm Npower announces cutbacks - Yahoo Finance

Npower is making cutbacks. Photo: PAUL ELLIS/AFP via Getty Images

The energy firm Npower has announced plans for a major cost-cutting programme, sparking union fears for thousands of jobs in the UK.

A spokesman for the GMB union called it a “body blow to Npower workers across the UK,” and condemned the government’s energy bill price cap for putting jobs at risk.

E.ON, which owns Npower, said in a statement published on Friday a £500m restructuring plan would be stepped up, but did not confirm any plans for job losses.

E.ON added in its statement that its cost-cutting plans involved “leaner, increasingly digital processes,” sparking union fears for workers in call centres.

Its chief executive Johannes Teyssen said: “The UK market is currently particularly challenging. We’ve emphasized repeatedly that we’ll take all necessary action to return our business there to consistent profitability.

“For this purpose, we’ve put together proposals and already begun discussing them with British unions.”

READ MORE: Tata Steel to axe 1,000 jobs in the UK

The GMB spokesman said: “Clearly this announcement will be a body blow to Npower workers across the UK.

“The Government has to urgently wake up to the impact that the price cap is having on good and reasonably well-paid jobs in UK energy companies.”

Unison general secretary Dave Prentis added: “This is a cruel blow for Npower employees. They’ve been worried about their jobs for months. Now their worst fears have been realised, less than a month before Christmas.

“The UK energy market is in real danger of collapse. If nothing is done, there could soon be other casualties.

“Npower’s demise means there’s no time to waste. It makes the powerful case for bringing the retail arms of the Big Six energy firms into public ownership.

“This would preserve jobs, ensure customers get a better deal and allow the UK to meet its carbon neutral targets.”

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November 29, 2019 at 02:58PM
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Unions fear for 'thousands of UK jobs' as energy firm Npower announces cutbacks - Yahoo Finance
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