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| 400 job losses expected at AA call centre in Cardiff | |
| (about 1 hour later) | |
| Over 400 jobs are expected to be lost at the AA insurance call centre in Cardiff, the company has announced. | Over 400 jobs are expected to be lost at the AA insurance call centre in Cardiff, the company has announced. |
| Pointing to a rise in online purchases, the AA said it would be focusing its call centre activity in Newcastle in future, and its Cardiff base would move to smaller offices within two years. | Pointing to a rise in online purchases, the AA said it would be focusing its call centre activity in Newcastle in future, and its Cardiff base would move to smaller offices within two years. |
| The AA and BSM driving school businesses will remain, with around 150 jobs staying. | The AA and BSM driving school businesses will remain, with around 150 jobs staying. |
| It has begun formal consultations with the union and business representatives. | It has begun formal consultations with the union and business representatives. |
| The company said in a statement: "Changes in the way that people buy and renew insurance - particularly the sharp growth in online transactions, resulting in fewer purchases made by telephone through conventional call centres - has led the AA to consider the way it looks after its customers through all of its road and insurance call centres, as part of a UK-wide review." | The company said in a statement: "Changes in the way that people buy and renew insurance - particularly the sharp growth in online transactions, resulting in fewer purchases made by telephone through conventional call centres - has led the AA to consider the way it looks after its customers through all of its road and insurance call centres, as part of a UK-wide review." |
| It said the expected to see a net reduction in its UK call centre staff of about 317 employees. | It said the expected to see a net reduction in its UK call centre staff of about 317 employees. |
| The AA said currently, just under 3,000 of its 8,000-strong workforce are based in call centres. | The AA said currently, just under 3,000 of its 8,000-strong workforce are based in call centres. |
| "The net loss is likely to be made up of about 406 roles in the Cardiff contact centre with future insurance call centre activity being focused at the AA-owned Newcastle office, where 183 new jobs are expected to be created. | "The net loss is likely to be made up of about 406 roles in the Cardiff contact centre with future insurance call centre activity being focused at the AA-owned Newcastle office, where 183 new jobs are expected to be created. |
| "However, the Cardiff-based AA Driving School and BSM activities will be retained along with some other core functions, preserving about 150 jobs." | "However, the Cardiff-based AA Driving School and BSM activities will be retained along with some other core functions, preserving about 150 jobs." |
| The company said work would move to new premises in the city before the current lease on the Penarth Road office expires in about two years time. | The company said work would move to new premises in the city before the current lease on the Penarth Road office expires in about two years time. |
| A 90-day consultation period has started. | A 90-day consultation period has started. |