UBS 'plotting further job cuts as crisis worsens'

1 October 2008

Swiss bank UBS, which has suffered credit losses and write-downs nearing $50 billion due to the credit crunch, is to impose deep cuts in staff numbers.

Insiders have indicated that around 1,900 people are to lose their jobs at the bank, Bloomberg reports.

The firm's fixed income, investment banking and equities units are all to be affected by the move - in all, one in ten of its investment bankers are to be made redundant.

Around 7,000 staff have already been axed at UBS due to the crunch.

Speaking to Bloomberg, Shaun Springer at Napier Scott Executive Search said that the recent worsening of the crisis had hit recruitment in the financial services sector hard.

"It is unquestionably the worst hiring climate I've seen in 30 years in the City for the European markets," he commented.

UBS is expected to announce the job cuts at its shareholder meeting, which takes place in Switzerland tomorrow.

The firm declined to comment to the news agency.

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