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Last Updated: Tuesday, 3 April 2007, 09:07 GMT 10:07 UK
Severn Trent to cut 600 positions
Severn Trent logo
Severn Trent serves eight million customers
Severn Trent is to cut 600 jobs at its main water business, as part of what the company says are efforts to "achieve higher standards".

It comes after it warned last year that it needed to cut jobs to rein in costs.

The utility group said both full-time and agency jobs would go over the next five years, and that further details would be announced in June.

Severn Trent also said its profits for its financial year to 31 March should rise between 1% and 3%.

Based in Birmingham, Severn Trent supplies water and treats sewage for about eight million people in the Midlands and certain regions of Wales.

It said in December that it needed to rein in costs as money spent fixing pipe leaks and higher energy prices had hit first-half profits.

'Appalling'

The Amicus union attacked the way in which Severn Trent chose to announce the job cuts.

"The action of issuing a general statement over the company's intranet site announcing these job cuts is an unacceptable and appalling way to deal with its employees at such a time," said Amicus national officer Dougie Rooney.

"Our representatives have not been informed and we are demanding that the company enter into proper consultations.

"Otherwise Amicus is prepared to consider industrial action."


VIDEO AND AUDIO NEWS
One union fears more than 600 jobs will be lost



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