7:22AM, Wed Feb 8, 2012

Lloyds Banking Group Announces Newcastle Job Losses

By Jessica Lane Location: Newcastle

Lloyds Banking Group (LBG) has announced the closure of its Newcastle site with the loss of 140 jobs.

The Accord union, which represents workers at the Manors office, says there is no firm date set for closure but it is expected to be before the end of the year.

LBG is 40.2 percent owned by the taxpayer and has shed 28,000 staff over the past three years.

The latest announcement will affect 990 staff nationwide at sites in Romford, Scunthorpe and Newcastle.

Accord's regional officer Frank Higham told Sky Tyne and Wear: "This is a bad news day for the whole of the North-East.

"It is another set of job losses which are unwelcome at any time. Some of the staff are crying, some are just shocked and stunned."

An LBG spokesman said: "The group's policy is always to use natural turnover and to redeploy people wherever possible to retain their expertise and knowledge within the group.

"Where it is necessary for employees to leave the company, it will look to achieve this by offering voluntary redundancy. Compulsory redundancies will always be a last resort."