The radical reorganization of the Deutsche Bank would result in 18000 people losing their job over a period of 3 years.
“This is a restart” – Deutsche Bank CEO Christian Sewing over the restructuring of the Bank’s equity business causing 18000 people to leave the company.
- Deutsche Bank AG decided to cut their workforce by a fifth for what they call “the most fundamental transformation in decades.”
- Around 18000 people globally are expected to lose their jobs because of the aftermath of the financial crisis.
- The German lender has reported a loss of $3.1 billion in the second quarter in their equity business.
- The restructuring plan will cost Deutsche Bank around $8.3 billion and will nullify the years of supremacy the bank once was known for in equity business.
- There is no geographic breakdown available from the side of the Deutsche Bank, but the US and Europe are speculated to face the major blow.
- The reorganisation of the business follows the failure of merger talks with rival Commerzbank in April.
- Many employees were seen leaving the office with a packet after meeting the HR in the Hongkong division of the bank.
- Entire teams in sales and trading are losing their jobs too, according to several Deutsche bankers.
- Christian Sewing, CEO of Deutsche Bank wrote a letter to staff calling this move a foundation to a bank that will be more profitable, leaner, more innovative and more resilient