Zurich holds talks on outsourcing 100 jobs at European hub
SWISS insurance giant Zurich is in advanced talks to transfer 100 jobs from its Dublin-based European hub to multinational outsourcing giant Capita, the Irish Independent has learned.
A spokeswoman for the Swiss insurer insisted all jobs would continue to be based in Dublin "at the time of transfer", with Zurich staff migrating over to Capita on "comparable contractual terms and conditions".
She admitted, however, that Capita would ultimately "be looking at moving work between sites in the Capita Group", which has operations stretching from Manchester to Mumbai and Bangalore.
The 100 jobs are expected to be transferred from Zurich's Dublin-based life insurance hub, which employs about 350 people. Zurich also has a general insurance hub in Dublin, but this is not affected.
Zurich's Dublin staff were told about the possible outsourcing moves on Wednesday, as Capita told the market it was in talks to expand on an existing deal with Zurich. Reports claimed the expansion would see Capita provide support for Zurich's global life administration hubs in both Europe and the Middle East.
"The discussions are confidential and it is too early to give any further details at this stage," a spokeswoman for Zurich's Dublin-based hub said. "However, our estimate is that about 100 roles in the European hub are potentially in scope for transferring to Capita."
Zurich is now beginning discussions with trade union Unite and employee representative bodies. "At the time of transfer the roles will continue to be based here in the existing Zurich premises in Blackrock," the insurer's spokesperson said.
"In due course, Capita will be looking into the viability of moving work between sites in the Capita Group. Given Zurich and Capita's aspirations for growth in Ireland, we would aim to mitigate any impact by the creation of new roles and by other opportunities."
Capita already has a Dublin base that is described as "life and pensions, back office, financial and corporate registration". The company has also recently won a major contract to monitor the interaction between banks and their Nama customers, on behalf of Nama.
A spokeswoman couldn't say when the jobs transfer might take place since discussions with Capita are "confidential". Asked about the rationale for outsourcing, she said Zurich was "constantly reviewing internal processes" to find "the most efficient way possible".