UK multi-sector recruitment group Interaction has acquired 31 branches of Kelly Services in a deal that takes effect on Monday, 16 March, Recruiter can reveal.

The deal, which is part of an earlier announced restructuring, will leave Kelly with 20 locations in major cities across the UK, along with 30 to 35 on-site operations, Tracy Ellison, interim managing director for the UK, told Recruiter this morning.

“I am delighted that we have confirmed the sale…because it protects employment” for employees in the 31 branches, Ellison said.

To effect what Ellison called “a seamless transition”, Kelly will provide back office support such as payroll services to the 31 branches acquired by Interaction for about four months.

Andrew Gilchrist, managing director at Interaction, told Recruiter that the addition of 31 branches to the firm’s existing nine branches will give the company national reach. Initially, the 31 branches will be known as Kelly Interaction. Gilchrist, a chartered accountant, is the former chief financial officer for Datamonitor.

“My plan is to grow the business, take really good people, and let them get on and run their own businesses,” Gilchrist said. “My vision is for every office to be the best (recruitment) office in their town.”

An official announcement from Kelly is expected later today.

For details of the acquisition, see the 18 March issue of Recruiter.