CARY – The layoffs have started at Deutsche Bank as the struggling lender embarks on a dramatic overhaul that will reduce its workforce by 18,000.
Whether those cuts will hit its 900-person software development operation in Cary remains unclear as of Monday morning.
“It’s still too early to comment on specific details,” a spokesperson for Deutsche Bank tells WRAL TechWire.
As for details o the cuts, the spokesperson added: “We are not breaking down the cuts per region/office location.”
The update Monday morning reflects what WRAL TechWire was told late Sunday night.
The Germany-based international financial giant will be communicating directly with employees regarding jobs and options available to them, TechWire learned.
A mobile app developed for Deutsche Bank (Mario Andreya / Deutsche Bank AG)
CEO Christian Sewing confirmed during a conference call early Monday that layoffs had started in Asia.
He said Deutsche Bank teams in other parts of the world would also be affected but did not go into specifics.
Some 900 people work at the Cary outpost, which focuses on software development, and jobs are available there according to web sites Indeed.com and Glassdoor.
Deutsche Bank bases its software and applications development group in Cary. Last fall it received a two-year extension from the state of North Carolina for an incentives agreement that it had agreed to based on plans to add 250 jobs at its operations. Deutsche Bank cited “changing business conditions.” The firm had announced plans to add jobs in 2015
Sewing unveiled a restructuring on Sunday that will eliminate roughly one in five jobs at the German bank.
“I am very much aware that in rebuilding our bank, we are making deep cuts,” the CEO said in a letter to employees. “I personally greatly regret the impact this will have on some of you.”
Deutsche Bank to cut 18,000 jobs, won’t say where cuts will be made
Deutsche Bank has not given details on which offices will bear the brunt of the downsizing. The bank has said its workforce will shrink to roughly 74,000 employees by 2022. In addition to Asia, it has big offices in London and New York and branches and outposts throughout the world.
“We will only operate where we are competitive,” Sewing said Monday. “We tried to compete in nearly every corner of the banking market at the same time. We simply spread ourselves too thin.”
Deutsche Bank will shrink its investment bank as part of the overhaul, shutter its equities sales and trading business and create a “bad bank” for €74 billion ($83 billion) in assets.
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