Credit Suisse Mulls Cutting Thousands Of Jobs Globally, Report Says

Credit Suisse Mulls Cutting Thousands Of Jobs Globally, Report Says

(Reuters) – Credit Suisse Group AG is discussing slashing thousands of jobs globally, Bloomberg News reported on Thursday, citing people familiar with the matter.

The Swiss bank is expected to finalize plans over the next couple of months and is examining inefficiencies in its middle and back office, in addition to efforts to reshape its investment bank, according to the report.

“We have said we will update on progress on our comprehensive strategy review when we announce our third-quarter earnings; any reporting on potential outcomes before then is entirely speculative,” a spokesperson for Credit Suisse said.

Late in July, Credit Suisse reported a 1.59 billion Swiss franc ($1.65 billion) second-quarter loss, badly missing market expectations.

Also last month, Credit Suisse named asset management boss Ulrich Koerner its new chief exeutive. He is tasked with scaling back investment banking and cutting more than $1 billion in costs to help the bank recover from a string of scandals and losses.

The bank has previously said it aimed to bring cost savings forward, speeding up measures introduced as part of its reorganisation in November targeting 1.0 billion to 1.5 billion francs in annual structural cost savings by 2024.

The bank has been tightening controls after suffering billions in losses via risk-management and compliance blunders.

(Reporting by Mrinmay Dey in Bengaluru; Editing by Bernadette Baum)