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European Banks crisis: RBS, Socgen and StanC complete job cut rigmarole

Socgen caught up on its efforts to create EUR 4 bln in Capital by 2013 with union agreements in home grounds in France to let go 880 people. With another 700 people from international locations, the bank makes cost savings on 1580 salaries and desks without resorting to layoffs. The overall1580 jobs will be nearly 12-15% of the corporate and Investment Bank unit

With Credit Agricole and BNPP accounting for 2350 and 1396 jobs that accounts for 4200 jobs down in the Top 3 French banks, whose CIB divisions, actually accounted for meagre revenues and deal making market shares

In other pertinent discussions, the zerohedgies continue to sing more Greek destruction even as we advocate turning a blind eye to Europe , let alone worrying about Greece

Stanchart in the meantime brought its Asian units in line succeeding in cutting 800 jobs in Korea. When Stanchart introduced discussions on Performance pay to bring back the Korean unit to profit it suffered the longest strike by its 6500 Korean employees as profits from India and Korea dipped to single digit contributions and bank shifted its focus to China and Middle East. It also offered a expensive voluntary retirement package to employees over 35 in Korea’s SC First Bank operation. Korea’s retail banking losses would be a thing of the past even as the bank succeeds in building its brand in the post apocalyptic world with good CAR and good Assets int he unaffected continents of Asia and Africa also expected to grow to nearly half the banking incomes in the next 10 years

RBS was pressured by Osborne after the FSA report on its management activities and the new ringfencing laws, forced the government to push for a shutdown of RBS ‘s incoherent Investment Banking operations. RBS’ CEO Stephen Heste may have thus agreed to a plan to divest all but London, Paris and Frankfurt operations even as its extensive US, Australian and UK securities operations including Hoare Govett corp broking units hunt for buyers. More than 10,000 job cuts will be affected in case buyers are not found for the excess flab, esp as buyers may be turned off esp in respect to UK Profit generating operations in Australia, UA and Asia may have ready buyers

RBS has earlier listed a lot of non core businesses that could account for these 10000 job cuts

 

( HAT TIP: http://news.efinancialcareers.com/76018/not-4000-not-5000-not-9000-but-10000-the-ever-increasing-number-of-redundancies-at-rbs-and-what-it-means-for-you/)

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2 comments on “European Banks crisis: RBS, Socgen and StanC complete job cut rigmarole

  1. Pingback: RBS decides the quantum of cut and roll | The Banking and Strategy Initiative

  2. Pingback: European Banks Debt Crisis: Europe’s C-rated banks catted by Greece | The Banking and Strategy Initiative

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