Hedges has been employed by the company for 33 years and will work four weeks’ notice. She was told her job was of two under review contracting mortgages and protection into one role and heard on Tuesday she had effectively been made redundant.
“It was a bit of a shock. The market is challenging for everyone right now, but networks are all cost-cutting. The endorsements I’ve had from lenders have been tremendous. With 33 year’s experience, I am looking for alternative employment and hope to be in a new role soon,” said Hedges.
An Openwork statement said: “Our mortgage business will be a major focus for us in the coming years and protection will play a key role in our strategy in that area. Combining some of the support functions is a natural progression for the business and will bring significant benefits to Openwork as we move towards profitability. The restructure has impacted a small number of roles where overlap would be inevitable and regrettably this has led to Karen’s departure. We wish her all the best for the future.”
Openwork recorded pre-tax losses of £8.5m in 2010, on top of a £5.6m loss in 2009.
In September, the network reported total revenues in 2010 of £182m, marginally down from the £182.5m in 2009.
Openwork’s latest adviser numbers decreased from 2,485 to 2,060, with chief executive Mary-Anne McIntyre blaming both the general contraction in the market and the poaching of advisers by a rival network set up by ex-staff.
