Fujitsu announces massive UK cuts

Japanese technology giant Fujitsu, which operates a large managed print services division in Merseyside among its other UK businesses, is set to axe more than 10% of its employees nationwide.

The company, which employs 14,000 people throughout the UK, launched a consultation on Tuesday 12 October on proposals to cut around 1,800 jobs from across its workforce as part of a “transformation programme that will enable it to better support customers in the era of digital transformation”.

In a statement the company said it planned to “streamline operations in order to remain competitive in the market”.

Cuts are expected to affect employees at its main UK sites including London, Manchester, Warrington, Wakefield, Stevenage, Crewe, Belfast and Derry, with the first jobs not set to go until 2017.

The firm’s UK subsidiary predominantly provides IT services for major corporations such as Marks & Spencer, HSBC and RBS, as well as some government departments. As part of a sub-contracting agreement with Capgemini, it also provides millions of printed pages a year to HMRC, from its Birchwood, Warrington-based managed print services division with a headcount “in the hundreds” according to a spokesman. In 2012, the department invested in three Océ Jetstream inkjet colour presses as part of a strategy to upgrade its service to HMRC. 

Unite national officer for graphical, paper, media and IT, Ian Tonks said: “This is a hammer blow for these hardworking employees who have given their all to make the UK subsidiary highly profitable.

“It is not good news for the UK economy as the company says that it intends to offshore many of these jobs, with increased automation also responsible for job losses." 

He added: “Fujtsu’s main UK subsidiary made £85.6m profit last year and we see no reason for these job losses. Unite will be doing its utmost to fight for these jobs, as well as giving our members maximum support at this very worrying time.”  

Fujitsu also announced its plans to fold its UK works council, Fujitsu Voice, from January 2017, which Unite claims will reduce workers’ redundancy and consultation rights.

Tonks added: “Fujitsu claims to be a responsible business - it needs to start acting like one. Its UK staff make the company excellent profits. 

“They deserve to be treated better than ‘unit costs’ that need to be minimised. Fujitsu staff are saying they have had enough of job and income insecurity and of being denied a real voice in their working lives. 

“They can rely on the backing of Unite in challenging Fujitsu’s actions.”