More than 800 people employed by Lloyds Banking Group are going to be made redundant, it has been announced today (May 8th) by the company.
It confirmed 850 members of staff are going to be let go as part of its cost-cutting measures.
Lloyds, which has now announced 2,750 job losses this year, revealed it will be seeking to make as many of the redundancies as possible voluntarily.
But union Unite was critical of the bank's move, pointing out that such severe job losses are likely to have a negative impact on the UK's economy, which only avoided slipping into a triple-dip recession this year thanks to modest growth of 0.3 per cent in the first quarter.
Unite's national officer Dominic Hook said: "Lloyds is celebrating a return to profit and there are hints of dividend payouts to shareholders, but the bank's workers are in constant fear that they will be next for the chop."
Following the news of the job cuts, the share price of Lloyds Banking Group rose by over three per cent and stood at 57.85 at 16:08 BST.
Learn about the Asian markets and CFD trading at City Index
GAIN Capital UK Limited (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.
No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.