Security firm G4S has announced a restructure putting 1,150 jobs at risk.
The GMB union is now in consultation to try and save as many roles as possible.
Paul van der Knaap, managing director of G4S Cash Solutions UK, said: “Following a review of our cash solutions operational footprint in the UK, we are proposing to reshape the business to better align it with the changing needs of our customers.
“Regrettably this will result in a reduction in headcount, and today we have entered into a period of consultation with affected staff.”
Roger Jenkins, GMB National Officer, said: “These cuts are devastating for our members and their families. GMB will fight to the end for every single job.”
(Image: Getty Images/iStockphoto)
The news, first reported in the Evening Standard, said most of the job cuts would be from among cash handlers as people used less cash and switched to digital payments during coronavirus-led lockdowns.
G4S’s cash saw revenue down 35% across April and May.
The GMB also warned that this is another step closer to a cashless society, which it claims will cost and damage the lives of the elderly and the vulnerable as well as small and medium enterprises.
“The collapse of cash industry could have a terrible impact on the elderly and most vulnerable and wreak havoc on small and medium enterprises which rely on cash transactions,” Jenkins said.
(Image: REUTERS)
Since lockdown, shops have increasingly asked people to avoid using cash wherever possible over Covid-19 transmission fears, while the contactless card payment limit was raised to £45 to help with this.
Combined with a surge in online shopping and the closure of many non-essential businesses, cash use has plummeted.
But, while ATM use has fallen, it seems people are taking out more money in a single trip when they do visit.
Nationwide’s figures show that in January and February, the average withdrawal was for just over £80, in March it was close to £100 and between April and June about £120 was taken out each withdrawal.
Nationwide head of payments Mark Nalder said: “While we can’t predict the future usage of cash after the outbreak, we can expect to see a steady rise in withdrawals as we begin to return to normal life.
“But what we do know is that cash represents safety and security to many, particularly in difficult times.”
