VAR Bailey Teswaine has confirmed testing economic conditions and the integration of its recent acquisitions has resulted in a number of redundancies.

Responding to speculation that a restructure of its sales and operational arm had led to some job losses, the firm issued the following statement: "Bailey Teswaine can confirm that it has recently entered into a period of consultation, which has resulted in a small number of redundancies."

The company is the IT and communications arm of services monolith NG Bailey. It acquired software-as-a-service specialist Extrasys in 2005, the year in which Northern Irish network cabling firm KNI also joined the Bailey Teswaine fold. Crawley-based networking and security VAR s2s was snapped up by Bailey Teswaine last year.

Bailey Teswaine's statement outlined the drivers behind the consultation process. It said: "The process has been necessary for two very specific reasons. First, the business operates in sectors that have been substantially affected by the current economic downturn, particularly in terms of capital programme spend.

"Second, the final phases of an integration programme of a number of investment and acquisition activities."

Bailey Teswaine also claimed it remained an integral part of NG Bailey's plans and that the rejig would give it more agility. "Bailey Teswaine is a key part of NG Bailey's overall business strategy moving forward - bringing high levels of skill to its operation," the statement said.

"It has a broad spread of clients and this process will enable the division to refocus accordingly and deliver to clients more effectively."