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EDITIONS
Thursday, 12 December, 2002, 15:21 GMT
Call centre faces new jobs blow
Call centre worker
Vertex said its call centres will remain UK-based
The Pembrokeshire call centre which laid off about 800 workers after the collapse of broadcaster ITV Digital is in trouble again, with its new owners planning to bale out.

7C, which ran the Cleddau Bridge facility used by the failed TV firm and still employs 223, was sold to rival Vertex on 2 December.

But the new owner told BBC Wales it will pull out in January after the end of one helpline contract and a bid for a "major central government contract" - made made prior to the purchase - was lost.

Welsh call centres
24,000 workers
118 employers
48% of staff are in Cardiff
19% in Swansea
18% in Newport
36% beyond cities
55% handle internet queries
Average centre employs 250
Third of centres Cardiff-based
1-in-8 in Swansea
1-in-7 in Newport
Growers: Travel, business, healthcare
Declining: Finance, banks, energy

Source: Cardiff and Newport Call Centre Initiative / WDA
Workers were told Thursday they will be made redundant. A consultation period has begun.

It will come as a new blow to the "knowledge economy" workforce in west Wales, where agencies including the Welsh Development Agency have scrambled to find new clients.

Replacement helpline contracts would have ensured continued employment for the telephone support staff still employed at the site for other firms, including ntl and Freeview.

But Vertex spokesman Nigel Charlton said his firm's failure to enter the centre with a sizeable client base makes the centre commercially unviable.

Takeover bid

The building itself remains owned by Pembrokeshire County Council, which leases the facility to employment agency Manpower.

Vertex - a division of US firm United Utilities - had bought 7C, which has a �20m annual revenue, to expand its client portfolio, which already included Cable & Wireless, Marks and Spencer, Companies House and UGC.

A contract that would have brought several hundred jobs has not been awarded

Vertex
It took control of its four UK call centres (London, Pembroke Dock, Birkenhead and Liverpool) and 75% of its New Delhi, India, operation.

Upon the purchase, Mr Charlton said moving jobs overseas was "a possibility", but stressed the business would remain "UK-based".

A company statement issued Thursday read: "The centre, which has been occupied by the former 7C and operated in partnership with Manpower since July 2000, has struggled to attract new business since the high-profile collapse of ITV Digital in April this year.

"The decision to withdraw - which is unrelated to the acquisition of 7C by Vertext on 2 December - follows confirmation that a substantial contract...

"That would have brought several hundred jobs, has not been awarded to the contact centre following a bid made by 7C before its acquisition."

  • Tory AM Alun Cairns accused ministers of "inaction", claiming they offered south east Wales plenty of help after job losses at steel firm Corus, but nothing to his south west region.

  • Vertex said 7C had been offered all the help it needed after the ITV Digital contract was pulled from under its feet, however.

  • Some staff have agreed to relocate to one of Vertex's 27 UK offices - the nearest is 152 miles away in Cardiff.

  •  WATCH/LISTEN
     ON THIS STORY
    Hillary Campbell, Vertex
    "It is difficult and disappointing"
    News image


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