April 30 (Bloomberg) — Willis Group Holdings plans to eliminate jobs and relocate 3,500 employees, or about 16 percent of its workforce, after reporting first-quarter earnings that missed analysts' estimates.
The moves will yield $420 million in cost savings through 2017 and $300 million annually after that, the London-based company said late yesterday in a statement. Willis, the third- largest insurance broker by market value, said workers will be shifted to lower-cost locations. The company had about 21,700 employees at year-end.
Willis dropped 3.5 percent to $41.68 at 9:41 a.m. in New York trading, the biggest decline since February. Quarterly operating earnings per share was $1.36, compared with the $1.40 average estimate of 16 analysts surveyed by Bloomberg.
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