City & Guilds drops mass redundancy and offshoring plans
10 reported1 conflicting
City & Guilds has confirmed that plans for mass compulsory redundancies and the offshoring of hundreds of UK jobs to Greece will not proceed. The proposal to remove about 400 UK roles was first reported in December as part of a £22m cost-cutting drive following the acquisition of the charity’s training and awards business by the Greek-owned PeopleCert in October. After the sale, about 75 compulsory redundancies were announced. The union Unite said on Thursday that negotiations with PeopleCert had secured a financial settlement for workers currently being made redundant, meaning compulsory job losses had been largely avoided. A spokesperson for City & Guilds said measures had been agreed to minimise impact on affected colleagues and provide enhanced support. Separately, PeopleCert’s internal investigation concluded that former chief executive Kirstie Donnelly and finance chief Abid Ismail had awarded themselves bonuses of almost £3m without authorisation, a claim their lawyers denied.
What’s reported
City & Guilds has guaranteed that plans for mass compulsory redundancies and offshoring of hundreds of UK jobs to Greece will not go ahead.
The proposal to remove about 400 UK roles was first reported in December as part of a £22m cost-cutting drive.
The acquisition of City & Guilds’ training and awards business by Greek-owned PeopleCert occurred in October.
About 75 compulsory redundancies were announced after the sale.
On Thursday, union Unite said negotiations with PeopleCert had “secured a financial settlement for the limited number of workers currently being made redundant.”
City & Guilds spokesperson said measures include redeployment, voluntary redundancy, and enhanced financial support.
PeopleCert’s internal investigation concluded that former CEO Kirstie Donnelly and finance chief Abid Ismail awarded themselves bonuses of almost £3m without authorisation.
Lawyers for Donnelly and Ismail denied the claims, stating the bonuses were approved and documented.
The Charity Commission opened a statutory inquiry after the Guardian exposed the bonuses.
CGLI said on Thursday it would launch its own inquiry into the sale, led by a king’s counsel.
Conflicting accounts
The article reports conflicting accounts regarding bonuses: PeopleCert’s investigation concluded that former CEO Kirstie Donnelly and finance chief Abid Ismail awarded themselves bonuses of almost £3m without authorisation. Their lawyers denied the claims, stating the bonuses were approved, documented, and implemented as part of the wider transaction process.
Key figures
Peter Storey, regional officer at Unite
Kirstie Donnelly, former chief executive of City & Guilds
Abid Ismail, finance chief of City & Guilds
Sources: The Guardian
