| 13.9°C Belfast

Jobs at risk at IT company Allstate in latest blow to Northern Ireland's economy

Jobs are at risk at one of Northern Ireland’s biggest IT companies as part of global cuts, according to reports.

US insurance giant Allstate employs 2,400 people across Belfast, Derry and Strabane.

It’s another threat to jobs in a sector of major importance to the economy here. This week aerospace giant Bombardier announced 600 jobs would go at its Northern Ireland operation.

Allstate staff in Northern Ireland work on software development and business solutions for the parent company.

According to reports, global chief executive Tom Wilson told senior staff in a video conference call that “thousands of jobs” are to go at all levels.

Regions are to make their own announcements over coming days.

The Illinois-based business employs around 46,000 people world-wide.

A spokesperson for Allstate in Northern Ireland said the company "will be open and transparent about the next steps".

“Allstate has embarked on a Transformative Growth plan; a strategy designed to increase market share and build for the future. The plan requires a change to the way we operate and will enable us to move forward, even in this challenging external environment, to keep Allstate strong now and into the future.

“Allstate NI are fully committed to keeping employees informed at all times, we will be open and transparent about the next steps and will engage everybody and treat employees with respect.”

Sinn Fein West Tyrone MP Orfhlaith Begley said she was concerned about the implications for workers in Strabane.

The West Tyrone MP said: “I have been contacted by local concerned workers of Allstate who have been informed by the company CEO in a video conference call that thousands of jobs are to be lost in the near future.

“These job losses are expected to be across the global company network and at all levels.

“Workers and families in the North are already under intense strain as a result of the pressures placed on the local economy by the COVID-19 pandemic and Brexit.

“However, there is some optimism that giving the unique nature of the Allstate operations in Strabane, Derry and Belfast, that local Allstate workers could be insulated from the worst of these cuts.”

She added: “I will be seeking an urgent meeting with management at Allstate to discuss the situation and to ensure that the concerns of workers are heard.”

Belfast Telegraph