Lloyds Banking Group is set to eliminate 300 engineering positions as part of a significant restructuring initiative aimed at transforming the organization. This change is part of a broader transformation strategy, which has been in effect since 2022, under the umbrella of the ‘Platform 3.0’ program. This initiative seeks to enhance digital services, improve operational efficiency, and strengthen its position against rising fintech competitors.
Last October, the bank implemented mandatory assessments for its engineering, architecture, and technical roles. Recently, nearly 6,000 employees from the technology and engineering divisions have been notified that their current positions may be affected by these ongoing structural adjustments.
Lloyds has indicated that the restructuring is expected to generate approximately 1,200 ‘new’ positions. However, the internal labor union, BTU, has criticized the approach, describing it as a deceptive tactic to undermine existing employee rights. The union argues, “These are not ‘new’ roles in the conventional sense; they are merely existing positions rebranded under different titles and reorganized into various job families.”
The union further questions the motive behind Lloyds’ tactics, suggesting that labeling these roles as ‘new’ allows the bank to impose altered working conditions on staff. Employees offered one of these positions may face difficult choices regarding previously established flexible working arrangements. This shift is viewed as part of a broader strategy to eliminate flexibility in key operational areas.
The impending redundancy of the 300 engineering roles coincides with plans to offshore these positions to the Lloyds Technology Centre located in India. This latest development follows the bank’s recent announcement regarding the closure of its contact center in Liverpool and another major facility in Dunfermline, which will collectively affect nearly 2,000 employees.