Credit Suisse to cut 2000 London jobs
(23 October 2015 – United Kingdom) Following an operational shake up, investment bank, Credit Suisse has said that it may cut up to 2000 jobs in London.
According to statements released on Wednesday, the bank will separate its trading unit from the underwriting and advisory businesses, while increasing activity in wealth management, particularly in Asia.
The trading division will be run by Tim O’Hara, Jim Amine and Helman Sitohang, with Gael de Boissard and Robert Shafir departing as part of wider management changes.
“We have 6600 jobs (in London) — 2400 front office, 4200 back office. Out of the 4200 about 2400 are directly connected to the front office, so they need to be co-located with the front office. The other 1800 frankly don’t need to be in London and that’s the potential we’re looking at, plus a little bit of efficiency,” Credit Suisse chief Tidjane Thiam said.
Credit Suisse, which employs over 20,000 people in investment banking worldwide, runs large parts of the division from the capital and employs asset managers and private bankers in Britain.
The Swiss bank is the latest in a list of financial institutions who, in recent of months have announced streamlining measures. Deutsche Bank, Barclays and UBS are all scaling back trading operations as regulators force them to increase the amount of funds they hold as protection against possible losses.
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