UBS to shed thousands more jobs

by Richard Kilner

Story link: UBS to shed thousands more jobs

UBS, the Swiss investment bank, is to cut around 2,000 jobs from its Investment Banking division.

The news comes as the firm released its financial results which showed multi-billion losses in both the fourth quarter of 2008 and for the year as a whole.

The firm has indicated it is to reduce its Investment Banking staff to 15,000 by the end of this year, with total staff numbers intended to fall to 75,000.

As of 31 December 2008 the bank’s total staff numbered 77,783, following reductions in staff numbers of 1,782 during the fourth quarter (primarily in the Investment Banking division).

The job cuts follow those announced by Morgan Stanley earlier in the month, with 2,000 (mostly back-office workers) set to lose their jobs.

In January of this year, Barclays announced a global slashing of 4,000 from its workforce, and in 2008 many other banks announced similarly large cuts.

With the economy suffering recession and ever increasing unemployment and the banking sector still not back on its feet after the financial maelstrom of last year, the news will simply add to the hard times being felt across the world.