Nearly 40 jobs are going at insurance giant Sedgwick's Essex base, with more losses threatened.

The firm's entire finance department is being moved to parent company Marsh McLennan's Docklands site. The American multi-national bought out Sedgwick last year for more than £1 billion.

Sedgwick spokeswoman Debbie Hilton stressed the 39-strong team of finance workers based at Witham had not been made redundant and were being offered positions at East India Dock.

But those declining to transfer could end up on the dole if management are unable to find them other positions at Witham.

Mrs Hilton said a "generous" compensation package was on offer along with help finding alternative employment.

But she was unable to guarantee the long-term future of the Newland Street site, which employs 700 people.

However, she confirmed more redundancies were likely across the group as a result of the merger. The company hopes to keep job losses to a minimum by redeploying staff and offering people voluntary redundancy.

East India Dock was chosen ahead of Witham for the merged finance department because it is bigger and has more space for extra staff coming over from Newland Street.

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