The managers of the megabank formed by the takeover of Credit Suisse by UBS plan to cut between 25,000 and 36,000 jobs worldwide, according to reports.
This is far more than the number of job cuts planned by Credit Suisse as part of its restructuring plan before Swiss authorities pushed UBS to urgently buy its rival, which was threatened with collapse.
According to SonntagsZeitung, the managers of the merged banks plan to cut 20 to 30% of jobs. In Switzerland alone, up to 11,000 jobs could be affected.
The Sunday paper doesn’t specify the period over which the job cuts are planned, nor the activities most affected within the two banking giants.
The merger is taking place without the approval of the two banks’ respective shareholders, with Swiss authorities having lifted the obligation to consult shareholders, who are due to meet this week.
Meanwhile, it’s been reported in the Financial Times that Switzerland’s Federal Prosecutor has opened an investigation into the takeover. The Financial Times says that the investigation will look into potential breaches of Swiss criminal law by government officials, regulators and executives at the two banks.
Polling shows that more than three-quarters of Swiss citizens are opposed to the takeover.
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