Cap Gemini Cuts UK - Easier To Axe Staff ?

The Guardian reports that Cap Gemini Ernst & Young, Europe's largest computer services consulting firm, has confirmed that it is to cut 700 jobs in the UK, or around 10% of its workforce in the region.

The latest round of cuts comes on the heels of around 3,500 job losses in the organisation in the first six months of the year. The company has posted a message on its website which said, in part: 'A combination of stream lining our structure to better respond to the current market conditions and a harsher operating enviroment mean that we need to cut 10% of the UK salary costs'.

The UK certainly appears to have suffered in the recent rounds of job cuts and some commentators wonder if this is so as the costs of exiting staff in other countries are greater than in the UK. In a sense, UK employees may make easier targets.

The Guardian quotes Michael Finney, a software and services analyst at SG Cowan, who said: 'It is easier to cut jobs in the UK and initially it was harder hit in terms of the demand downturn. In mainland Europe, it is so expensive to cut people that companies tend to weather it a bit longer'.

So much for Europe being a level playing field. Tony Blair please take note - surely British workers should not be disadvantaged just because we are easy targets.

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