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Saturday 10 December 2016

Fears grow as Dublin's Deutsche Bank to shed 9,000 jobs

Deutsche Bank has struggled to maintain profits investors want to see while meeting regulatory demands to cut risk
Deutsche Bank has struggled to maintain profits investors want to see while meeting regulatory demands to cut risk

Deutsche Bank, which employs 400 people in Dublin, is to cut its workforce by 9,000 and close operations in 10 countries.

The bank, the biggest in Germany, has not offered any guarantee that cuts would not take place in its Irish arm.

It was revealed yesterday that it would reduce its workforce by approximately 9,000 net full-time equivalent positions plus approximately 6,000 external contractor positions in its global technology and operations infrastructure function.

One of the two businesses that Deutsche Bank has in Ireland is global business services, which falls under the umbrella of global technology and operations, a sector that Deutsche intends to cut.

Revealed

The bank has yet to give a breakdown of where the job cuts would take place and they also would not say when it would be revealed.

However, in a statement yesterday, newly appointed co-ceo John Cryan said that it would close onshore operations in 10 countries: Argentina, Chile, Mexico, Peru, Uruguay, Denmark, Finland, Norway, Malta and New Zealand.

"In April, we announced Strategy 2020.

"Since joining the management board in July, I have been working together with my colleagues to draw up plans to stabilise the bank and to turn around its long-term performance," Mr Cryan said.

"Now, it's all about executing on our plans to build a better Deutsche Bank.

"Sadly, this also means closing some of our branches and country locations, and reducing some of our front-office and infrastructure staff too.

"This is never an easy task, and we will not do so lightly. I promise that we will take great care in this process, moving forward together with our workers' representatives."

According to the statement on Strategy 2020, the bank's cost-cutting measures to make the business simpler and more efficient will end up saving €3.8bn.

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