Fujitsu is reducing about 100 jobs within the UK because the fallout from its central position within the Put up Workplace scandal hits its gross sales pipeline.
The IT provider has put almost 70 members of employees susceptible to redundancy and about 30 are leaving. Gross sales, pre-sales and logistics jobs are affected.
In accordance with a supply, Fujitsu’s pause on bidding for presidency contracts, together with decreased demand from private and non-private sector clients because of the provider’s public shaming, will cut back gross sales this yr.
Fujitsu has come below heavy criticism and scrutiny within the UK after ITV’s dramatisation of the Put up Workplace Horizon scandal, Mr Bates vs the Put up Workplace, aired initially of the yr.
The provider has offered the Horizon software program and assist to the Put up Workplace and subpostmasters since 1999. The software program had main defects that brought about accounting shortfalls, for which subpostmasters have been blamed, with many wrongly prosecuted because of this. Fujitsu performed a job in serving to the Put up Workplace conceal data of errors from subpostmasters, blaming the customers as a substitute.
Between 1999 and 2015, tons of of subpostmasters and department employees have been wrongly prosecuted by the Put up Workplace and convicted for accounting shortfalls, which have been proved within the Excessive Court docket, in 2018/19, to have been brought on by Horizon errors. Many extra have been financially ruined.
In January this yr, Fujitsu’s European boss, Paul Patterson, promised to cease bidding for presidency work till after the completion of the statutory public inquiry into the Put up Workplace scandal.
Throughout questioning by MPs at a enterprise and commerce choose committee listening to in January, Patterson acknowledged Fujitsu’s half within the scandal, telling MPs and victims: “We have been concerned from the beginning; we did have bugs and errors within the system, and we did assist the Put up Workplace of their prosecutions of subpostmasters. For that, we’re actually sorry.”
The pause in bidding doesn’t embrace bidding for work with current clients or cases the place the federal government requests it, however Fujitsu’s gross sales within the UK have taken an enormous hit.
At the moment final yr, the IT large had received seven UK public sector contracts price over £65m, however knowledge from Tussell Group reveals only one deal this yr – a £155,000 software program assist contract with the Nationwide Nuclear Laboratory (NNL).
By April 2023, Fujitsu had signed a £25m take care of Bristol Metropolis Council, a £16m contract with the Put up Workplace, a deal price £13m with Northern Eire Water, an £8m take care of the Ministry of Defence, two offers with the Division for Schooling totalling £3m, and a contract with Leeds Metropolis Council price as much as £100,000.
After the announcement of its first UK authorities contract of the yr, with the NNL, there was heavy criticism. Following this, the Division for Power Safety and Web Zero defended the explanation for Fujitsu’s new deal and steered it’d change the provider subsequent yr.
“NNL requires bespoke software program to make sure its work stays compliant with operationally important laws. There are presently no different appropriate suppliers, and with out re-awarding this contract, the NNL could be unable to fulfil its regulatory duties,” stated a spokesperson.
The division added that the NNL would “contemplate all choices as soon as the contract involves an finish in March 2025, together with exploring in-house options”.
There’s additionally big stress from MPs and the general public for Fujitsu to contribute financially to the prices of the Put up Workplace scandal, already estimated to be over £1.2bn.
Fujitsu had not responded to Pc Weekly questions when this text was printed.
The Put up Workplace scandal was first uncovered by Pc Weekly in 2009, revealing the tales of seven subpostmasters and the issues they suffered as a result of accounting software program (see timeline of Pc Weekly articles concerning the scandal beneath).
• Additionally learn: What it’s worthwhile to know concerning the Horizon scandal •
• Additionally watch: ITV’s documentary – Mr Bates vs The Put up Workplace: The true story •
