A CALL centre experiment in India has sparked fears that North-East jobs in the sector could end up at risk.

Zurich Financial Services, the parent company of Eagle Star insurance, has opened a call centre in India as part of a move towards operating 24 hours a day, seven days a week.

The firm, which employs 550 staff at its Newcastle call centre, and also has bases in Bournemouth, Portsmouth, Glasgow and Leeds, claims it had to go abroad to find people willing to work unsociable hours.

As part of a six-month trial, which started two weeks ago, Zurich has recruited 30 staff in Bangalore, who will be trained to answer insurance calls from British customers by some of its UK staff.

James Hart, the company's senior press officer, said: "We have had difficulties in manning the extended hours.

"Late evenings and weekends are not popular and we have had problems recruiting staff to cover those periods.

"We are hoping the Indian pilot will cover those times."

Mr Hart stressed that the Indian call centre would not be at the expense of British jobs but would not disclose whether the foreign staff were being paid less.

The move follows transfers of support operations to India by other insurance firms, including Royal & Sun Alliance, Bupa, Axa and Churchill.

Jackie Woodall, senior organiser for the GMB union in the Tees Valley, expressed worry over the trend.

"Wherever companies can make a profit outsourcing abroad they will do it," she said.

"We have seen it happen with the textile industry.

"I don't believe employers can't find people to fill those jobs. Once again, it is greed not need."

Charles Breslin, head of operations at Churchill Insurance, which employs 620 people at its second largest call centre in Stockton, said its Information Technology department had moved to India.

But he said there were no further transfer plans.

"Our people in the North-East give outstanding customer service," he said.

"We would be looking to develop here rather than recruit anywhere else."

"We operate 24 hours a day, seven days a week, and we don't have any problem recruiting."

A spokesman for Orange, which has call centres in Peterlee and Darlington, said it had no plans to move to India.