HBOS admits jobs to go in merger

http://news.bbc.co.uk/go/rss/-/1/hi/scotland/7636692.stm

Version 0 of 1.

The public relations manager of HBOS has said there will be no special treatment for Yorkshire staff and there will be job losses in the merger.

Shane O'Riordain, the communications manager, said the firm was proud of its Yorkshire roots but also proud of its Scottish roots and was "a UK company".

But he said the merger of HBOS and Lloyds TSB would result in job cuts.

Mr O'Riordain said the merger was in its infancy and no conclusions could be drawn about the future.

He said it would take three years for the businesses to come together and there was " a lot of work to do".

"We are at the beginning of the merger process, clearly there will be some job losses, it would be foolish to say otherwise, but we are literally at the beginning of this process."

But he said both companies would do everything possible through natural turnover to avoid compulsory redundancies.

Shane O'Riordain talks about the situation at HBOS

"But there has been no final clarity on that, because we're just at the start of the process."

Mr O'Riordain said politicians both in Scotland and Yorkshire and in other areas the bank operated in were all being very effective.

"I have, personally, spoken to local Yorkshire politicians (about the merger).

"You can rest assured, local politicians in Yorkshire have been just as diligent as their Scottish counterparts.

"But I think it's important to remember we are a UK company. Yes we're proud of our Yorkshire roots but we're also proud of our Scottish roots - but fundamentally we're a UK company.

"We are conscious of the proud heritage of Halifax, just as we're conscious of the proud heritage of the Bank of Scotland, but we've got to be even handed.

"It's far too early to speculate about job losses."

Mr O'Riordain said the merged companies would be "an enormous business".

"We're putting together a group which will employ initially 150,000 people."