Skip to main content

Credit Suisse to cut investments jobs.

 

Credit Suisse

Credit Suisse is preparing up to cut more than 10 per cent of European investment bankers this year, having already let hundreds of staff go in London and Zurich last month, according to people with knowledge of the moves.

In October, the crisis-plagued Swiss lender announced that it planned to cut as many as 9,000 roles globally over the next three years from its 52,000 workforces. But those plans have stepped up in recent weeks as the bank prepares to announce its second consecutive annual loss next month.

Credit Suisse is under more acute stress than its peers, given it suffered massive client withdrawals in October following social media rumours about its financial health. As a result, it has racked up quarterly losses over the past three years.

The initial wave of 2,700 global redundancies in December included 540 job cuts in Switzerland and as many as 200 in London. Credit Suisse employs more than 5,000 in London and 16,000 in Switzerland.

The lender employs around 17,000 investment bankers globally, with its main centres in New York and London.

In some of Credit Suisse’s smaller European outposts, as many as a third of jobs are threatened as the bank restructures its operations to eliminate overlapping roles and front-office positions.

Few of Credit Suisse’s investment bankers expect much in the way of a bonus this year, given the annual loss the bank has signalled it will report next month.

www.sba.tax

Labels:

Comments

  1. Jason16 January 2023 at 15:50

    I'm actually surprised they let go of just 10% of their workforce. I think they should have opted for 25% so they can keep going and return to where they were once. I know jobs will be lost and people will hurt but in this case, what else can be done?

    ReplyDelete
    Replies
    1. Andy16 January 2023 at 18:49

      I agree. I hate seeing people lose their job but 10% is just going to prolong a bankruptcy that seems unavoidable. If you truly want to save CS then go all in. Isn't it better to let some people go while taking better care of the remaining ones?

      Delete

Post a Comment

Cloud Bookkeeping

HS2 cost cuts new routes and add delays.

 Trans­port depart­ment offi­cials have begun work on «Project Sil­ver­light» sug­gest­ing the high­speed rail scheme might face four addi­tional years of delay. The planned High Speed 2 rail line faces fur­ther delays of up to four years and more cuts to the project under plans being drawn up by min­is­ters to rein in its bal­loon­ing costs. The extra delays to the coun­try’s biggest infra­struc­ture project would mean that it would not be com­pleted until as late as 2045 — 12 years after ori­gin­ally planned. «This is a func­tion of infla­tion; we are hav­ing to find huge sav­ings because the cost of everything the depart­ment is already doing will have become so much more expens­ive by then,» said one gov­ern­ment offi­cial. In Octo­ber, the FT repor­ted that the Treas­ury had asked HS2’s man­age­ment team to identify poten­tial cuts or «scope reduc­tions» to the high-speed line. Trans­port depart­ment offi­cials have sub­sequently begun work on Project Sil­ver­light aimed at fi...
4 comments
Read more

Google has launched its Bard chat­bot.

  Google has launched its Bard chat­bot in a move to rival OpenAI’s pop­u­lar Chat­GPT, as it seeks to make up lost ground in the race to com­mer­cial­ise gen­er­at­ive arti­fi­cial intel­li­gence tech­no­logy. Google said that Bard, which provides answers to text­based ques­tions, will be run sep­ar­ately from its Google Search engine. In recent weeks, gen­er­at­ive AI has also been integ­rated into widely used pro­ductiv­ity applic­a­tions, such as Google’s Work­space includ­ing Google Docs and Gmail, and Microsoft’s Office 365 soft­ware, as well as into pop­u­lar apps such as Duolingo, allow­ing mil­lions of people to start inter­act­ing with the tech­no­logy. «We want to get feed­back and gradu­ally phase up the num­ber of people who have access to Bard, and the reason for that is we want to be able to test and learn from that before we roll it out very widely,» said Zoubin Ghahramani, vice-pres­id­ent of Google Research. Bard is built on top of Google’s AI tech­no­logy known a...
3 comments
Read more

Doubt on CS's collateral.

  Credit Suisse provided an emergency $140mn loan to Greensill Capital based partly on invoices to companies that deny ever doing the business stated on the documents. The Swiss bank provided the loan in October 2020, less than five months before the collapse of Greensill, a supply chain finance firm that counted former British prime minister David Cameron as a senior adviser. Invoices issued by metals magnate Sanjeev Gupta’s Liberty Commodities and sold to Greensill formed part of the collateral for the loan, according to documents seen by the Financial Times and people familiar with the transaction. Yet several of the parties named on the invoices have told the FT they did no business with Liberty. GFG has consistently denied any wrongdoing. Credit Suisse’s loan had a clause dictating that the collateral value had to be equal to or greater than the $140mn borrowed. The terms of the debt agreement only allowed invoices on Green-sill’s balance sheet to count towards this tally if t...
2 comments
Read more