1,000 roles to be outsourced to India.
Norwich Union is to cut 4,000 jobs across the UK by the end of 2007.
About half the roles will be shed via compulsory redundancies, with the other half coming from staff turnover, redeployment, not filling vacancies and voluntary redundancies.
The redundancies are expected to deliver annual cost savings of £250m by 2008 at a cost of £250m by the end of 2007.
Around 1,000 operational roles will be outsourced to India, while 500 IT roles will be outsourced to third-party suppliers.
Patrick Snowball, NU's executive chairman, said: “We have to ensure that Norwich Union remains a highly efficient and successful company in what is an increasingly competitive and dynamic environment. Customers' buying habits are changing rapidly as technology becomes more accessible, demonstrated by the fact that 50% of our new direct motor insurance policies are now bought online. Consumers, IFAs and brokers are increasingly operating in a self-service world and we have to continue to respond to this.
“We recognise that tough decisions such as these are difficult for the people affected but they are absolutely necessary. We will look for every opportunity to redeploy staff in new roles and we will ensure those affected get specialist career advice.”
Role reductions will affect the following locations:
•Norwich 850
•York 450
•Glasgow 250
•Sheffield 250
•Cambridge 200
•Perth 200
•Newcastle 200
•Eastleigh 200
•Stevenage 150
•Bristol 150
•Worthing 100
•Belfast 100
•Birmingham 50
The insurer will also close BSM's 107 high street outlets.
At 10am, Aviva's share price was up almost 2% to 782p.
