9/20/2019, 3:28 PM (Source: TeleTrader)
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Commerzbank to cut 2,300 jobs

In a press release on Friday, Germany's second-largest bank announced new draft strategy, dubbed Commerzbank 5.0, detailing a planned headcount cut of around 2,300 full-time positions as well as its intention to sell its majority stake in a Polish subsidiary, mBank. The draft strategy is, however, yet to be approved by its supervisory and managing boards later this month.

Commerzbank AG said that "across the Group" some 4,300 jobs would be cut. The move, which the bank described as "regrettable but inevitable," would be offset by a "planned increase of around 2,000 full-time positions in strategic areas." On mBank, the German lender attributed the decision to "investment capacity strengthening" that would allow the bank to "generate the financial resources enabling a faster implementation of its strategy," resulting in a "marked reduction in risk-weighted assets by around €17 billion."

The announcement confirms previous reports regarding the number of layoffs. However, the rumors in August suggested that the layoffs would mostly affect employees at the headquarters.

Baha Breaking News (BBN) / GG