Earlier in 2014, the bank announced plans to slash 9,000 jobs and shut down 200 branches.
Though Lloyds committed to keep its 2,200 branches intact, increasing use of its online services has forced the bank to digitize its business, automate more of its processes and reduce the requirement for back-office staff. As a result, the bank is reducing the number of branches to nearly 2000, The Telegraph reported.
Majority of the job cuts will be achieved through layoffs in the bank’s retail businesses. The bank’s commercial banking, consumer finance and legal units will also face job cuts.
Lloyds Banking general secretary Mark Brown was quoted by The Telegraph as saying: "Lloyds Banking Group’s announcement today of another 1,585 job losses on top of the thousands that have already gone is yet another kick in the teeth for staff and customers. The vast majority of the job losses will be customer facing roles.
"Members in branches are telling us that they are operating with skeleton staff numbers already and that’s seriously affecting the service they provide customers. Today’s announcement is only going to make that worse. The bank says it want to be ‘The Best Bank for Customers’ but its strategy of shutting branches and reducing staff numbers in order to force customers to use online banking is all about reducing costs and restricting customer choice. That’s unacceptable."
Despite the cuts, Lloyds will add more than 170 new jobs across its retail, commercial banking and legal divisions.
