Monday 13 July 2020 12:31 pm

Outsourcing giant G4S to cut 1,150 jobs in restructuring

Outsourcing giant G4S will cut more than 1,000 jobs as part of a restructuring of its cash solutions division, the firm today announced.

In total the firm will get rid of 1,150 roles, with most of these expected to fall in the cash handling division.

Read more: G4S shares surge as it revises up earnings forecast

The redundancies, which were first revealed by union GMB, were confirmed by a spokesperson for G4S.

In a statement, Paul van der Knaap, managing director of G4S cash solutions UK said:

“Following a review of our cash solutions operational footprint in the UK, we are proposing to reshape the business to better align it with the changing needs of our customers.

“Regrettably this will result in a reduction in headcount, and today we have entered into a period of consultation with affected staff. 

“We are working closely with unions and individuals to offer opportunities for redeployment within the group.”

The news comes after the firm this morning said that its underlying earnings for the first six months of the year would be significantly ahead of market expectations.

G4S put this down to “a resilient trading performance during June” and said that it will bring forward publication of its first-half results to next week.

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However, the short update made no mention of the job cuts, which it is understood were announced internally.

GMB said it was in talks with the FTSE 250 firm to try and save as many jobs as possible.

National officer Roger Jenkins said: “These cuts are devastating for our members and their families. GMB will fight to the end for every single job. 

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“They are also another worrying step towards a cashless society  the cash industry really is on a knife edge. 

“The collapse of cash industry could have a terrible impact on the elderly and most vulnerable and wreak havoc on small and medium enterprises which rely on cash transactions. 

More to follow.