Cash snub forces G4S to shed jobs

The Daily Telegraph - Business - - Front Page - By Alan Tovey

SE­CU­RITY com­pany G4S is to cut 1,000 jobs in its cash han­dling busi­ness af­ter shop­pers dumped paper money due to Covid-19 fears.

The com­pany is to shed al­most a quar­ter of the di­vi­sion’s 4,500 staff amid a surge in card and con­tact­less spend­ing. Con­sumers have been ad­vised to avoid cash where pos­si­ble as it can carry the virus. G4S sold the bulk of its cash busi­ness to US ri­val Brinks ear­lier this year, as the FTSE 250 busi­ness fo­cuses on the core se­cu­rity guard op­er­a­tions that pro­vide work for the bulk of its 25,000 UK em­ploy­ees.

Shares closed up al­most 10pc yes­ter­day af­ter bosses said they ex­pected prof­its to be sig­nif­i­cantly above mar­ket ex­pec­ta­tions of £160m.

G4S also said it will an­nounce half-year re­sults next week rather than midAu­gust. Last week, it an­nounced a deal with the Se­ri­ous Fraud Of­fice to set­tle an in­quiry into claims it over­charged the Gov­ern­ment for tag­ging of­fend­ers. The busi­ness will pay more than £40m in fines.

Paul van der Knaap, man­ag­ing di­rec­tor of G4S’s Bri­tish cash han­dling arm, said: “We are propos­ing to re­shape the busi­ness to bet­ter align it with the chang­ing needs of our cus­tomers.”

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