British Gas has confirmed that it is cutting 2,000 jobs at sites in Manchester, Oldham and Solihull, and that around 1,000 of these jobs will be transferred to an Indian outsourcer.
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The 1,000 jobs to be transferred are mainly back-office IT-related positions, so British Gas will still deal with customers directly from UK locations following the restructuring.
British Gas unions say talks on the job cuts have broken down, and there is the threat of industrial action as a result.
British Gas said it would be taking on more engineers and sales staff at the same time as it cut UK office-based positions.