Credit Suisse is planning job cuts across many European offices to reduce costs. It is thought that up to 100 jobs will be lost from Credit Suisse’s UK offices.
Credit Suisse is reducing the number of top level managers in the business as well as administrators. So far at least 20 managing directors have been informed that they positions are up for review.
Credit Suisse is Switzerland’s second largest bank and operates in investment banking, private banking and asset management in 50 countries around the world.
Credit Suisse has faired very well in recent years and remaining mostly unharmed by the global economic crisis. A combination of well planned risk management and strategic investments meant that Credit Suisse largely avoided bad debts and poorly performing stocks.
Although Credit Suisse has been performing relatively well the whole market is reduced with global revenues from investment banking down by about 16%.
Credit Suisse is undergoing a general restructure by the sounds of things to reduce costs. It currently has around 120 managing directors in its European, African and Middle Eastern offices and it plans to reduce this number down to 100.
Credit Suisse have not provided any more information on the cuts, so far all the media stories are coming from leaked reports from members of staff who have probably been told not to tell anyone what is happening.
Credit Suisse had started taking on more staff over the last few years to try to increase its business.
Swizterlands number one bank, UBS, suffered much larger write-downs than Credit Suisse. However, this just goes to show that even for companies performing relatively well, there are still some major problems.