Deutsche Bank, Germany’s largest lender is cutting 1,000 extra jobs as part of the company’s ongoing restructuring efforts.
The jobs will be cut from Deutsche’s German operations, the bank confirmed in a statement to Business Insider.
Around 3,000 job cuts have already been announced in Germany as part of restructuring plans first announced in 2015. Last year Deutsche Bank announced plans to slash 15,000 jobs globally and shed businesses that employ some 20,000 staff. The 1,000 jobs are on top of these figures.
In a press release, Karl von Rohr, a member of Deutsche’s Management Board said: “We consistently implement our strategy to make the bank more efficient.”
“We are fully aware that today’s decision is a difficult change with significant personal impact for many employees. We will ensure that any staff reductions are carried out in a socially responsible manner,” he continued.
The German bank has been facing several issues in recent weeks. US authorities are demanding a fine of up to $14 billion (£11 billion) for mis-selling mortgage-backed securities, and Deutsche Bank is throwing its energies into reaching a settlement before next month’s presidential election.
On Friday, Agence-France Presse reported that Deutsche and the US Department of Justice were close to agreeing a settlement of $5.4 billion (£4.2 billion) — much lower than the $14 billion expected, though that report has not been independently confirmed. The news on Friday pushed Deutsche’s shares up by more than 8%, and it has now risen by as much as 22% since the open on September 30.
On news of the extra job cuts, shares increased marginally and are currently trading at €12.19, up by 0.99% on the day in Frankfurt:
CommerzBank, Germany’s second-biggest bank after Deutsche, recently announced 10,000 job cuts as part of a major restructuring of the business.