Outrage over job cuts at rail firm

South West Trains (SWT), which operates services throughout southern England and into London's busy Waterloo station, said it could not rule out compulsory redundancies.

There was more gloom on the employment front when North Wales firm Anglesey Aluminium failed to find an energy supplier, threatening up to 500 jobs.

More positive news came from administrators to Viyella, who reported "significant" interest in the historic women's clothing firm from potential buyers.

SWT, owned by transport giant Stagecoach, said train drivers, guards and frontline maintenance staff would not be affected by the proposed cuts, which followed a review of its cost base.

Around 480 management, administration and other roles will be cut, but SWT said that taking into account existing vacancies and posts which have been withdrawn, the actual number of people leaving would be around 200.

"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. We are very aware that these proposed changes will be difficult for the staff affected.

"But 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. We expect this challenging climate to continue through 2009 and 2010," said a statement.

Bob Crow, leader of the Rail Maritime and Transport union (RMT) said: "These privateers are supposed to be running a public service, but as soon as their massive profits come under threat the first people to suffer are the people who actually do the work. There is no way that SWT can cut these jobs without affecting the quality of service that passengers receive and putting a greater burden on the workforce that remains.

"SWT's revenues and profits are up, but the company has already put ticket offices under sustained attack and now it wants to decimate staff across the operation. These cuts represent a kick in the teeth to rail workers and passengers alike and RMT will resist compulsory redundancies with every means at its disposal."