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Amicus Welcomes AXA's Decision to Sell Rights to RAC

LONDON, September 17 -- Amicus, the UK's largest private sector union, has welcomed today's announcement that AXA is to sell the new business rights to their personal lines direct insurance business to RAC. This deal also marks the conclusion of a joint venture - RAC Insure - which was established by AXA and RAC in 2002.

AXA is one of the worlds leading insurance companies with operations in Europe, North America and the Asia/Pacific area.

The union has been fully consulted over AXA's plans and has assurances from the RAC that there will be no redundancies. There will be a 3-week consultation period from the 17th September to the 8th October with the formal transfer to the RAC on the 11th October.

Amicus Regional Officer Hugh Jones-Glass says:

"This is good news for our members at AXA as RAC are looking to develop the business further.

"Also AXA were due to make a number of redundancies at the Morecambe site earlier this month which following the change in ownership will no longer take place.

"What's more certain elements of AXA Direct, which were out sourced to Pune in India, will revert back to the UK once the RAC have officially taken over."

The two sites in Morecambe and Darlington have almost 500 staff between them. All staff (except Claims and site services at Morecambe) will transfer to the new employment under the same terms and conditions under which they are currently employed.

The vast majority of staff at the two sites work in sales and services.