800 jobs to be cut in Standard Life and Aberdeen merger
Insurance and investment firm Standard Life has revealed in a document that the agreed merger with Aberdeen Asset Management will result in the loss of around 800 jobs.
Standard Life and Aberdeen agreed in March on an £11 billion all-share merger which will see Aberdeen shareholders own 33.3 percent and Standard Life shareholders own 66.7 percent of the combined business.
Standard Life and Aberdeen expect to achieve cost synergies where duplication exists and by taking advantage of opportunities to leverage the additional scale of the combined group.
“At this time it is estimated that the integration and restructuring will result in a phased reduction of approximately 800 roles from the total global headcount of the combined group as at 31 December 2016 of approximately 9,000 over the three-year integration period,” Standard Life said in a statement.
Synergies will come in part from employee departures arising from natural turnover, the company added. Other appropriate steps will be taken to minimise the number of compulsory redundancies, including the active management of Standard Life’s and Aberdeen’s recruitment and vacancies.
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