ABN Amro sheds 2,400 jobs

26th April 2006, Comments 0 comments

26 April 2006, AMSTERDAM — Dutch bank ABN Amro is shedding 2,400 jobs, of which 650 are going in the Netherlands.

26 April 2006

AMSTERDAM — Dutch bank ABN Amro is shedding 2,400 jobs, of which 650 are going in the Netherlands.

But at the same time ABN intends to create 900 new posts in low-cost countries, the company said on Wednesday as it presented its figures for the first quarter.

ABN is taking a EUR 125-150 million charge in the second quarter to cover the job cuts. It estimates the three-year operation will cost a total of EUR 245 million. Most of the jobs relate to the Services Operation Division, which handles internal transactions.

Asked on Wednesday whether there would be compulsory redundancies to achieve the cut in the Netherlands, a bank spokesperson replied: "We hope not".

Director Ron Teerlink told a briefing the cuts were "painful". "We will do our best to retrain those involved and to find them new jobs within or outside ABN Amro," he said. The bank is to discuss this with the labour unions.

The countries where ABN is cutting back are the US (620 jobs), Brazil (500), Europe (outside the Netherlands, mainly the UK, 470) and Asia (160 jobs). ABN currently employs 22,000 people in Services Operations.

The bank plans to hire new personnel, mainly for its operations in India, Poland and China.

ABN booked a net profit of EUR 1 billion in the first quarter, 12 percent more than the same period last year. 

[Copyright Expatica News + ANP 2006]

Subject: Dutch news

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