Half the staff at a Sheffield IT contractor have been told they face redundancy - with up to 124 jobs at risk.
Computer giant Hewlett Packard has announced up to half of the 250 staff at the company’s base on Napier Street, Sheffield, could be axed.
The change will involve moving the roles to Cobalt in the north east of England and Erskine, near Glasgow. The Scottish site is in an area where there are incentives for companies to set up.
Staff at Napier Street provide IT support for the Department for Work and Pensions.
No relocation package has been made available to people wishing to apply for redeployment.
PCS trade union full time officer, Alan Brown, said: “The staff at this site are incredibly experienced.
“They are vital to ensuring that Government computer systems are in place and remain in place delivering important services for the people of this country.
“It is clear that this huge American company is intent on moving this work in an attempt to get it done on the cheap. “Hewlett Packard is also playing one area of the UK off against the other.
“British taxpayers are paying to allow this multinational to maximise their profits by throwing hard working dedicated staff on to the dole in Sheffield and filling their jobs on the cheap elsewhere.”
Staff at the Napier Street offices are currently being balloted on a 1.6 per cent pay rise - with the PCS union recommending rejection.
The pay offer followed a one-day strike involving Sheffield staff last month.
One worker said: “There is a lot of uncertainty which is very worrying for everyone because we do not know if we will keep our jobs and what we will do if we are made redundant.”
Hewlett Packard said the job losses are among 27,000 being made worldwide to ‘simplify business processes’ after a series of problems including a failed tablet computer and an announcement that it was considering an exit from the PC business.