Zurich Insurance streamlining move could lead to 800 jobs cut

Zurich Insurance Group announced Tuesday new plans it says will streamline its global organizational structure, which could lead to the loss of 800 jobs.

The move would “remove management layers between Group and the business units,” Zurich said in a press release. The goal is for more profitable growth, and to grow operating earnings, one of the organization’s strategic priorities set out late last year. 

The proposed changes, which remain subject to the appropriate consultation with employees and their representatives, would lead to annual run-rate savings of approximately $250 million by the end of 2015, according to Zurich.

That would mean up to 800 job losses throughout the global organization, although customer facing activities will not be impacted, Zurich said.

“We continue to make significant progress towards our strategic goal to make Zurich a focused and more profitable business,” CEO Martin Senn commented in the statement.

“This latest initiative empowers our people to act decisively in delivering first-class services to our customers while also minimizing overheads. It will be implemented through a measured process, with employees supported at every stage of the transition.”