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By | John Oates 4th July 2008 14:12

Serco sharpens the IT guillotine

Job cuts consultation underway

Government services firm Serco is looking to cut up to 500 jobs from its IT division, with satellite offices and its Birmingham HQ all likely to be hit.

Serco bought ITNet in 2004 and has contracts with the RAF and several local authorities.

A spokesman for the firm confirmed to The Register that restructuring meant jobs would go. He said: "We're still consulting on jobs and we hope it will be substantially less than 500 in the end." Consultations will finish by the end of July, with job losses likely in several areas besides the Birmingham headquarters.

The company sent us the following statement:

Serco can confirm that its Serco Solutions division is carrying out a 90-day staff consultation process that will review and realign the structure of the technology part of the division. The review will simplify the structure of this part of the division, whilst at the same time strengthening capability at the contract level.

Regrettably, this review will mean a reduction in roles, but we are seeking to minimise this reduction through a number of measures including redeployment across the wider Serco, removal of vacant positions, and lower use of contractors. The division remains confident about future growth, based around long term strategic partnerships.

An anonymous Reg reader told us the redundancies were being decided on a points matrix system, and were likely to hit from senior programme managers to helpdesk staff. ®

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