A CALL centre giant has unveiled plans to create 500 North East jobs just weeks after the region's biggest contact centre operator, Garlands, collapsed and more than 1,100 workers were made redundant.
Indian outsourcing company Firstsource Solutions’s decision to open a centre in Middlesbrough has been widely welcomed after Hartlepool-based Garlands went into administration last month after losing two massive contracts.
And the announcement came on the day Barclaycard revealed it was in talks over the possibility of hiving-off the operation of its Stockton call centre, which employs 700 staff, to Firstsource.
Firstsource’s decision to move into the North East was made after it was promised a £1.9m grant from regional development agency One North East, secured with help from Newcastle-based corporate finance specialist unw.
Matthew Vallance, managing director of Firstsource, said: “We are delighted that the latest phase of our UK expansion will be located in Middlesbrough which promises to be a highly favourable location for us.
“Our UK business is continuing to show robust growth and the new Middlesbrough centre will complement our existing UK and international operations.”
The company, based in Mumbai, has its UK base in London and currently employs almost 2,000 people in Northern Ireland.
Middlesbrough Mayor Ray Mallon said: “It is great news that Firstsource has recognised Middlesbrough as the ideal location for the latest phase in their expansion.
“The creation of 300 jobs in the first instance, and a further 200 jobs in the future will have a significant impact on the town.
“ This is also very welcome in the wake of the loss of more than 1,000 jobs at Garlands, which was a huge blow to the Teesside area.”
Firstsource, which operates in the financial services and telecommunications sectors, said it was unable to say whether the contracts for its Middlesbrough office included any of those lost by Garlands.
Garlands Call Centres, launched two decades ago by Chey Garland from the attic of her home in Middlesbrough, closed last month with 1,158 workers losing their jobs after losing major contracts which included Vodafone and TalkTalk.
Barclaycard yesterday announced it was in discussions with Firstsource over the future of the services provided by its call centre in Stockton.
Firstsource said that if the negotiations were successful, it would deliver the services from the existing location and without the loss of jobs.
But the Unite union last night expressed concern that the jobs may be moved abroad.
Rob MacGregor, Unite national officer said: “Unite has major concerns that this move is a first step on the way to the offshoring of these roles which would have a devastating effect on the job market in the North East. Unite will engage with Barclaycard in consultation and will thoroughly challenge the business case for this transfer.”
Firstrsource said it would take around three months to open its new office in Middlesbrough town centre and has started the recruitment process.
One North East director of business and industry Ian Williams said: “This is a real vote of confidence by Firstsource in the North East economy.
“I am delighted that One North East has been able to support this project with finance as well as a great deal of guidance and support from our Investment and Aftercare team.
“Firstsource has received backing from a range of public sector partners including Tees Valley Unlimited to ensure the firm has everything it needs to establish this facility in the Tees Valley.”
Source: The Journal
