Energy firm Ovo is set to axe around 1,700 jobs according to the Unite union.
An official announcement is expected from the company later today (Thursday 13 January).
The union said it warned Ovo in 2020 that it was taking a significant risk when it took over the retail base on energy giant SSE.
General secretary Sharon Graham said: “We will do everything in our power to defend our members’ jobs.
“All and every option will be on the table. As a first step, the company must now open the books to union experts.
“We will not sit by and watch our members being made to pay the price of the pandemic.”
You might have seen OVO & SSE in the news today. We recently sent an email to customers with energy saving tips that linked to a blog post. This blog should never have been written or sent to customers - it was embarrassingly unhelpful and poorly judged. We are sincerely sorry.
— OVO Energy (@OVOEnergy) January 11, 2022
The news follows after the company had to apologise earlier in the week for sending an email out to customers that advised to keep heating low by "having a cuddle with your pets" or eating a bowl of porridge.
Unite national officer for energy Simon Coop said: “We warned the directors about blundering into the SSE takeover.
“In recent years the same directors have plundered the accounts for amounts estimated to be touching £6 million.
“Ovo must be subject to severe scrutiny before the union decides on our next moves, but if they move to compulsory redundancies they will be fully opposed by the union.”
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