Jobs Go as Global Offices Shut

BARCLAYS is cutting 1,200 investment banking jobs as it pulls out of Russia, Brazil and some Asian countries to focus on its biggest markets in China, India, Japan, Singapore and Hong Kong.

Barclays is cutting 1,200 investment banking jobs as it pulls out of Russia, Brazil and some Asian countries to focus on its biggest markets in China, India, Japan, Singapore and Hong Kong.

Investment bank boss Tom King and new chief executive Jes Staley want to accelerate the reforms that have been under way since mid-2014 in the hope that they can shed the loss-making parts of the bank and return to healthier profits.

Barclays will run its Russian operations from London after deciding to shut its Moscow office, while the Brazilian markets office will also close, with those customers being served from London and New York. Its investment banking units in Thailand, Taiwan, the Philippines, Indonesia, Malaysia, South Korea and Australia are also being closed.

Services across the Asia-Pacific region will now be run from hub offices in the bigger countries. The bank's cash equities business in Asia is also being closed.

Investment banking boss Mr King told staff that the painful process was beginning to bear fruit.

"Since we announced our strategy in May 2014, we have accomplished a lot. Our returns have improved and we are ahead of many of our peers in re-shaping our franchise. But there is more to do before we deliver the potential of our business," he said.

"By focusing our business on areas where we have sustainable competitive advantage, we are putting ourselves in a position where we can not just survive but thrive in a dynamic, complex operating environment."

Mr Staley was brought in as Barclays' chief executive in December with a mandate from chairman John McFarlane to accelerate reforms to the bank and boost returns for shareholders.

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