This ten-year agreement will support Zurich's ambitious efficiency and growth plans in the UK and keep it at the forefront of the new economy. The approach is expected to deliver annual cost savings of nearly 15 million through productivity gains and economies of scale. A radical approach to outsourcing Zurich's legacy system management to deliver increased responsiveness and lower cost. Around 800 of the 1800 employees and contract staff currently employed in systems development and support capability across Zurich's UK insurance business will transfer to IBM Global Services. Zurich anticipates no job losses as a result of this agreement, which will provide strong career opportunities for all its IT staff.
Detailed consultation is underway with employees and their representatives.
Key terms have been agreed in principle. A further announcement will follow once contracts have been signed. It will not only give us faster access to new technologies, it will also give our customers access to new products and services and provides our IT employees with greater career opportunities. The Zurich Financial Services Group is a global leader in the financial services industry, providing its customers with solutions in the area of financial protection and asset accumulation. Headquartered in Zurich, Switzerland, the Group's worldwide presence builds on strong positions in its three key markets - the United States, the United Kingdom and Switzerland.