UBS Said to Plan 10,000 Job Cuts as Investment Bank Shrinks

[marmar]

(Bloomberg) UBS AG (UBSN), Switzerland’s largest bank, will cut as many as 10,000 jobs across the firm as the trading business shrinks, a person with knowledge of the plan said.

Many of the reductions will come in the trading businesses overseen by investment-bank co-head Carsten Kengeter and are likely to occur over several quarters, said the person, who requested anonymity because the plans haven’t been publicly detailed. An announcement may come when UBS reports third- quarter earnings Oct. 30.

Chief Executive Officer Sergio Ermotti, 52, is overhauling the bank as Swiss regulators pressure UBS and Credit Suisse Group AG to boost capital and scale back trading and investment- banking operations. UBS is in the process of cutting risk- weighted assets at the investment bank by more than half from September 2011 levels, mostly in fixed income.

UBS had about 63,250 employees as of June 30, according to the firm’s most-recent financial report. On that basis, the reductions might amount to about 16 percent of its workforce. ....................(more)

The complete piece is at: http://www.bloomberg.com/news/2012-10-26/ubs-said-to-plan-10-000-job-cuts-amid-investment-bank-shrinkage.html

[Gold Metal Flake]

1. Downsized traders.

That's too bad.