Aviva is planning a merger with Friends Life, the pension firm and this has left many of the 1,300 workers in their Sheffield office wondering what this will mean for their job prospects.
The company is one of the biggest employers in the town and with the company already admitting that here are likely to be job cuts as a result of the merger, many people are already worrying. There have been rumours that 2,000 of the 12,000 employees that they have in total could be made redundant but the company are yet to confirm what the figure will be.
The company are hoping that by merging they will be able to save £225 million by the end of 2017. It will be in the spring when the merger goes ahead as long as the shareholders agree to it.
Friends Life has 3.500 staff who are mainly based in London, Bristol, Salisbury and Manchester. The chief executive of Aviva, Mark Wilson explained that the company will have an extra five million customers as a result of the merger. He explained that although there will be some job losses, there will also be other areas where costs can be cut as well.
The company will keep the Aviva name and have 16 million customers. It will be the leading insurance, savings and asset management company in the UK measured by the number ofcustomers it will have with one in four households using it.