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400 Pru workers move to Diligenta as offshore job moves lined up

400 Pru workers move to Diligenta as offshore job moves lined up

Around 400 M&G Prudential staff in the UK are moving over to Tata Consultancy Services (TCS) as part of an extension of its life and pensions administration contract.

The move comes months after 100 Prudential workers, who were already being moved to TCS, face being offshored to India – a move which has been contested by Unite the Union.

In January Prudential announced it was dropping Capita for Diligenta, a subsidiary of Indian IT and consulting giant TCS, on the administration of 4 million of its life and pensions contracts worth around £700 million over 10 years. 

As well as seeing Capita roles move over to Diligenta this contract switch saw 180 Prudential jobs moved to TCS, which was announced in January.

This contract has now been extended with an extra 1.8 million Prudential contracts to be managed by TCS. As part of this contract extension a further 400 Prudential workers in the UK will be moved to Diligenta across a number of UK sites including London, Reading and Craigforth. 

In addition a further 183 roles currently based in India are expected to move from Prudential to TCS, a spokesman for TCS said. 

Industrial action

The announcement that a further 400 UK Prudential workers will be transferred across companies comes after Unite asked for workers’ views on a strike over plans to offshore 100 out of the 180 roles already being moved from Prudential to TCS.

In April a statement from Unite said: ‘TCS has advised that they plan to offshore approximately 100 jobs within 5/6 months of the TUPE (Transfer of Undertakings Protection of Employment Regulations) which takes effect from 1 May. They have also advised that they plan to de-recognise Unite from 1 May.’

The Unite statement said the offshoring plans put ‘Prudential customers at risk’ and counter proposals were suggested to TCS but these were rejected.

As such the union proposed ‘a consultative ballot to gauge support for industrial action, up to and including strike action, to defend roles and union recognition’.

The outcome of this strike ballot is unclear but New Model Adviser® understands negotiations are ongoing between the company and Unite about the prospect of offshoring 100 of these jobs.

A spokesman for M&G Prudential said: ‘The TUPE consultation concluded without issue and the employees transferred on 1 May 2018.’

Clare Bousfield, chief executive of Prudential UK, said the decision to extend the contract with TCS was a reflection of the need to ‘keep pace with the needs of our customers’.

‘This requires us to simplify how we do things and make sure that the people who have been central to our success in servicing our customers have access to tried and tested expertise, modern systems and processes to deliver better outcomes and experiences in the future,’ she said.

TCS declined to comment.

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