Deutsche Bank to axe 18,000 jobs worldwide in radical restructuring

Cornelia Mascio
Luglio 13, 2019

Deutsche Bank has announced that it would cut 18,000 jobs over three years as part of a radical reorganization plan that will cost Euro 7.4 billion, the BBC reports.

The headcount cull will result in cutting its global workforce to 74,000 by 2022.

The bank estimates this will save a whopping $11.9 billion in coming years.

"The significant downsizing of investment banking is a radical realignment of Deutsche Bank", which would stabilize German jobs in the long term, said ver.di Chairman Frank Bsirske. All staff were issued with a letter informing them of their redundancy and then asked to leave nearly immediately.

Deutsche Bank, which has come under recent scrutiny over its business relationship with Donald Trump, would not reveal how many staff in its United Kingdom operations would be out of work in the latest round of redundancies, although the numbers are expected to be significant as London - where the bank is in the process of constructing a new headquarters - is one of of the lender's largest bases with around 8,000 staff.

Hundreds of City workers are fearing for their jobs after Deutsche Bank, the global bank that is one of the Square Mile's largest employers, said it will axe 18,000 staff worldwide in the latest attempt to revitalise its reputation and business.

Sewing didn't share any additional information about the investments but said that details would be disclosed in the bank's next quarterly report.

Another employee, who asked not to be named, said the bank held a short meeting in its auditorium at 9:30 a.m. EST to inform staff of the cutbacks.

Two men leave the Deutsche Bank London office with their redundancy envelopes. "[There are a] couple of rounds of chats with HR and then they give you this packet and you are out of the building", he said.

At the bank's Wall Street office, staff impacted by the cuts were summoned to the cafeteria to learn of their fate.

For those losing their jobs in equities, finding a new one could prove hard, with the industry still grappling with higher costs from new European regulations on share trading.

Speaking outside the bank's office, one employee told Reuters the cuts had been anticipated for weeks.

Speaking outside the bank's office, one employee told Reuters the cuts had been anticipated for weeks.

Last week, the head of Deutsche's investment bank Garth Ritchie agreed to step down, marking a sign of the division's waning influence.

"People have been planning their next moves but it's a tough market", the person said, speaking on condition of anonymity.

Few staff wanted to speak outside the bank's London office, but trade was picking up at a nearby pub around lunchtime. The Chief Executive Officer, Christian Sewing took over past year & assured faster restructuring after predecessor CEO John Cryan was perceived to have moved way too slowly.

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