First round of cuts begins at AM Corp and IOOF
About 30 staff fromAMandIOOFhave been retrenched as part of the rationalisation of the two groups.
The majority of the retrenchments were from AM in Sydney, although a couple of middle managers in IOOF were also retrenched last Thursday.
IOOF managing director Rob Turner said the AM retrenchment had been identified by AM management a while ago as market conditions declined.
“Some were identified as part of a reorganisation by AM management, but they were put on hold due to the sale of the company,” he says.
“There are a number of position overlaps between the two companies and they will be eliminated.”
Turner would not give any indication on the total number of redundancies that will happen — nor any timescale.
There are 280 staff at IOOF and 250 at AM and he says the redundancies are the start of the integration process for the two companies.
IOOF officially took control of AM on Friday afternoon and the full integration starts this week.
“We are not integrating the corporate structure as that was not part of the take-over deal,” Turner says.
“Each department of IOOF and AM will now be integrated during the following months.”
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