SWT cuts 480 jobs but vows to protect frontline services

The company blamed the credit crunch and refused to rule out compulsory redundancies which threatened an immediate clash with union bosses.

A company spokesman said management, administration and other jobs would be lost. Train drivers, guards and frontline maintenance staff would not be affected by the proposed cuts.

The company, owned by transport giant Stagecoach, said it was taking "decisive action now" so it could maintain high-quality train services and continue to have a successful business providing thousands of jobs.

He added taking into account existing vacancies and posts which have been withdrawn, the company said the actual number of people leaving would be about 200. SWT operates local and long-distance routes into mainline Waterloo station.

Stagecoach Group recorded a 25 per cent increase in interim operating profits to £31.7million for the six months ending 31 October.

It has just increased peak-time fares by six per cent and off-peak by seven per cent.

Despite ministers restricting plans by SWT to slash ticket office opening hours, the company is still going ahead to cut back opening hours at more than 50 stations.

The spokesman added: "We hope to achieve some of this through natural turnover or voluntary redundancy. However we cannot rule out compulsory redundancies.

"Our priority throughout this process has been to protect the core frontline service and excellent performance we currently provide to our customers."

The company said there would inevitably be changes to how it manages a number of its operations, adding: "We are all aware we are operating in an unprecedented economic environment which is affecting all areas of the economy from the public sector and voluntary organisations to small businesses and major companies."

Bob Crow, general secretary of the RMT union, said: "These job cuts are unjustified and will be resisted. These people are supposed to be running a public service but as soon as their profits come under threat, the first people who suffer are those who deliver that service.

"There is no way this level of cuts can be delivered without it having a detrimental impact on services."

Shadow work and pensions secretary Chris Grayling said: "The fear is that this will mean a poorer service for rail users, as well as adding to our rising unemployment crisis."

Gerry Doughty, leader of the TSSA rail union, said: "It is outrageous that SWT is threatening compulsory redundancies in the same month they have increased fares by six per cent and cut back ticket office opening hours."

He warned: "We shall fight any attempt at compulsory job losses."