Many employees at Deutsche Bank’s Bengaluru office have been given a month’s salary and asked to leave. They joined the thousands of other employees in Sydney and Hong Kong who were given their letters on 8 July, and told that their jobs had become redundant.
The layoff is going to hit the single earners the most.
This is part of the Bank’s plans to lay off about 18000 jobs globally, which the Bank termed as a massive restructuring strategy.
It is reported that the restructuring, which began in Europe on 7 July, will cost the Bank about € 7.4 billion euros ($8.31 billion) and will lead to the drastic scaling back of its investment bank.
The Bank is all set to do away with its global equities business and also cut some of its fixed-income operations.
While maximum layoffs are expected to take place in Europe and the US, the offices in Sydney, Hong Kong and India will not escape.
While the mergers and acquisition teams may not be affected immediately, the equity capital markets team will take the maximum brunt.
The workforce in Sydney, Tokyo, Hong Kong, and Singapore together number about 4700, and Deutsche Bank’s investment banking team in the Asia-Pacific region comprises approx. 300 people. Almost 10 to 15 per cent of these will be asked to go — most of them from the equity capital markets division.
A cloud of gloom had descended in the offices where the staff were handed over their letters and packages.