One of Brighton and Hove’s biggest employers plans to cut about 1,000 jobs – or 1 in 10 members of its workforce – by the middle of next year, it said today (Thursday 24 September).
The chief executive of the life insurance and pensions group, Antonio Simoes, announced the job cuts in an email yesterday, saying that the company needed to “become a leaner organisation”.
The financial services firm said that it would start by inviting staff to apply for voluntary redundancy. It didn’t say where from other than that its asset management division would not be affected.
The proposal is understood to affect about a 10th of the company’s total workforce amid efforts to simplify the structure of the organisation, with four businesses being trimmed into three divisions.
L&G has also sold some of its assets such as its Cala Homes housebuilding operation.
Mr Simoes told staff: “Over the last decade, different structures, processes and ways of working have developed across L&G, making us more complex than we need to be.
“To deliver our strategy successfully, we now need to make sure the way we work reflects the business we are becoming.”
The company previously cut roles in its asset management division after being affected by an earlier round of the simplification programme.
And last month, L&G revealed stronger-than-expected first-half results as it reported a 37 per cent increase in fee-related earnings from its asset management division.
The 190-year-old company said: “Since 2024, L&G has become a simpler, more focused business.
“These changes represent the next stage of that transformation, ensuring that our organisation and ways of working reflect the business we are now building and the rapidly changing environment in which we operate.
“They will also help us focus our resources and investment on the areas where we see the strongest opportunities for long-term growth.
“We recognise and take seriously the impact on colleagues and are committed to supporting our people throughout the process and consulting with our unions.”
It is sad but unfortunately in a changing world this can often, and job losses are inevitable. With AI getting bigger, expect this is just the start of redundancies at companies such as Legal and General. The worse thing they have done is announce this, and require answers on voluntary redundancy in October, before next year when they plan to change the number if enforced days, staff will need to go into the office. This is so wrong, both should be hand in hand, so people can make a informed choice, knowing all details. It seems they have become sadly a not so caring company, as compared to the past.