UBS to slash up to 36,000 jobs after Credit Suisse merger – DW – 04

#UBSslash #36000jobs #CreditSuisse
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The bank is looking to curb after the bloat from the merger of two Swiss banking rivals. In Switzerland alone, more than 10,000 jobs are in the chopping block. Swiss banking giant UBS is considering laying off 30 percent of its staff after it acquired rival Credit Suisse, Swiss newspaper Tages-Anzeiger reported on Sunday. UBS has agreed buy 3 billion Swiss francs after the Swiss government arranged a deal to bail out Credit Suisse, one of the global banks considered too big fail. But the bank that came out of the deal has $1.6 trillion in assets and employs more than 120,000 people worldwide. Tens of thousands of jobs are at risk Prior to the merger, UBS and Credit Suisse had around 72,000 and 50,000 employees, respectively. The layoffs report was not specific about which positions to target, but said as many as 11,000 staff could be laid off in Switzerland alone. When is a bank systematically important? The report also said that jobs in the United States may be at risk. UBS is currently in talks to end a deal that would transfer control of most of Credit Suisse’s investment bank to Wall Street negotiator Michael Klein. UBS also said on Wednesday it will bring back former CEO Sergio Ermotti to deal with the new risks. “There’s a huge risk in integrating these businesses,” UBS president Colm Kelleher said earlier this week. too big to make mistakes The purchase of Credit Suisse triggered panic in the financial markets, but that subsided after the initial disturbance. The troubled Swiss bank was shaken by fallout from two bankruptcy in the US, and Swiss government took action to prevent Credit Suisse’s own bankruptcy, fearing even greater consequences. But Credit Suisse was already on rocks as it was caught in a series of scandals, including its relationship with the British financial firm Greensill, which had gone bankrupt in previous years, and bankruptcy of US hedge fund Archegos. absms