RBS Traders Brace for Job Cuts as City of London Contracts
Traders at Royal Bank of Scotland (RBS) will be the latest to be hit by one of the biggest rounds of job cuts since the credit crisis began.
The equity derivatives floor at the state-backed bank is this week facing substantial job cuts as part of its integration, with investor products, into the global sales and global trading arm of the investment bank.
It is understood that the cuts are part of the 3,800 already announced by the bank this year. The bank is planning to maintain its geographic spread as part of the re-organization.
RBS, which is in the middle of a revamp by the management team brought in following its disastrous purchase of ABN Amro and the departure of then-Chief Executive Sir Fred Goodwin, is far from the only bank making cuts at the moment as uncertainty hangs over the global economy.
On Wednesday, Dutch bank ING announced that it will cut 2,350 jobs in insurance and commercial banking.
London-based workers at Swiss bank UBS were unceremoniously ejected from their jobs last week – turning up for work to find that their passes didn't work.
Concerns are growing in the U.K. about the shrinking number of jobs in financial services as equity trading volumes decline. City job numbers are expected to fall by 13,000 in 2013 and to their lowest level since 1993 in 2014, according to estimates from think tank the Centre for Economics and Business Research (CEBR).