Failed HBOS head to advise on job cuts

Failed HBOS head to advise on job cuts


The Financial Services Authority will be called to launch an enquiry over Andy Hornby’s appointment as a £60,000 a month consultant in the Lloyds TSB/HBOS merger. MSP, Alex Neil, is outraged by the employment of Hornby, as he believes that the payout from Lloyds TSB will lead to a conflict of interests. 

He also suggested that HBOS shareholders may lose out, as Hornby may be unable to “meet his statutory judiciary duties”, whilst still allowing for Lloyds TSB’s budget requirements for the merger.


A spokeswoman from Lloyds TSB has defended the decision, by reminding critics that Hornby’s ten years experience of HBOS would be invaluable throughout the take-over. She also added that the contract is not fixed and so may only be a temporary.


There has been much speculation that job cuts may be necessary if the merging companies are to keep down costs. Part of Hornby’s role would be to identify departments that are overstaffed, thus advising new bosses where job cuts can be made.


For those employees whose futures are uncertain, the fact that Andy Hornby, (whose high risk growth plan contributed to the fall of the banking giant in the first place) will be advising Lloyds TSB about hiring and firing, will be a bitter pill to swallow.


By Danielle Williams

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