Help for hundreds in Oldbury facing npower axe

The Government revealed the move in a letter to Sandwell Council Leader Councillor Darren Cooper.

He wrote to the Prime Minister after npower announced plans to close its Quayside House offices in Oldbury and outsource jobs to India from there and another office in the borough.

The energy giant said the move, which will affect some 400 staff, would 'save on customer service costs at a time of external pressures on energy prices'.

Councillor Cooper had asked the Prime Minister to urge npower to reconsider the move.

But in its reply the Department for Business, Innovation & Skills said the closure was disappointing but 'a commercial decision'.

It added: "The Government, through JobCentre Plus, the Skills Funding Agency and their providers In-Training are actively working with Chiumento, a talent management company, engaged by npower.

"These partners will be meeting as soon as the consultation period concludes in the next week or so to explore an appropriate comprehensive package of support to those employees who will be affected by this decision and who wish to move into alternative employment as soon as possible."

Councillor Cooper added: "It's good news things are moving forward to help people set to lose their jobs. But I am bitterly disappointed the Government won't ask the company to reconsider its decision."

"Npower is the fifth largest employer in Oldbury and the proposed redundancies will have an impact on people, the town and the wider borough. I think cutting jobs to improve customer service is wrong and the company should change its mind."

All of the 250 jobs at Quayside House will be cut when it closes in June, and around 150 staff will go from npower's sister site Birchfield House, Joseph Street. The firm's other Oldbury site, Birch House, is not expected to be affected. The move will reduce the firm's workforce in Oldbury down to around 500 staff.

The firm also revealed that it would close its huge Fenton offices in Stoke – meaning a total of 950 jobs will go in the Midlands. In total, more than 1,460 office jobs will be cut in the UK.

Staff will begin to leave by March, after a 60-day consultation was launched with the affected workers. The news was broken to them last November. Bosses at npower say they are offering enhanced redundancy packages of 90 per cent of monthly salaries, capped at 15 months'.

For those with over 15 years of service, the packages are based on 100 per cent of monthly salaries, capped at 15 months.