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According to the Bloomberg News on Tuesday, UBS which recently completed its emergency takeover of Credit Suisse now plans to discontinue the services of more than half of the workforce of the acquired entity. As UBS wants to cut the overall combined workforce by around 30%, or 35,000 individuals, over time.
Credit Suisse employed roughly 45,000 people before nearly collapsing due to investor concerns about its viability, prompting a huge rescue arranged by the Swiss government.
Analysts had warned that massive job losses were expected as a result of overlapping activity at two of the world's most prominent banks. Though, UBS has not yet made a comment about this report stating the job cuts! As per the reports both groups joined had around 120,000 employees at the end of last year, out of which 37,000 employees were in Switzerland.
Bankers, traders, and support employees in Credit Suisse's investment bank in London, New York, and other regions of Asia are expected to face the brunt of the damage, with practically all activities in danger, according to the report.
According to Reuters, UBS will lay off Asia investment bankers at Credit Suisse next month, with a large decrease in investment bankers covering Australia and China.
The Bloomberg report even cited that the employees are informed that these job cuts will be undertaken in three waves, the first round of cut-off will take place in the month of July, while the others in September and October.
Earlier this month, UBS CEO Sergio Ermotti warned of difficult job-cut choices after the merger of Credit Suisse, although he did not specify the number of prospective layoffs.
