Bloomberg News

Barclays Prepares to Cut Jobs at U.K. Investment Bank

January 22, 2013

Barclays Starts to Eliminate Jobs at U.K. Investment Bank

A pedestrian passes a Barclays Plc bank branch, left, opposite the company's headquarters. The reductions may be equivalent to 5 percent to 10 percent of the investment bank, or about 2,000 employees, said the people, who asked not to be identified. Photographer: Chris Ratcliffe/Bloomberg

Barclays Plc (BARC), Britain’s second- largest bank, has started to consult with 9,000 U.K. employees as it prepares to eliminate jobs at its investment bank.

The bank sent a memorandum to employees today, a London- based spokesman said. This “exercise is being carried out so that we can start to effect some of the strategic changes” whose results will be announced on Feb.12, the London-based bank said in a statement today.

Barclays Chief Executive Officer Antony Jenkins is overhauling the culture at the bank and focusing on more profitable businesses amid tougher capital requirements and banking scandals. The bank was fined a record 290 million pounds ($460 million) in June for manipulating Libor, leading to the resignations of its former CEO, chairman and chief operating officer.

Investment-banking head Rich Ricci has said the bank would review products and services that could harm the bank’s reputation. He cited parts of the bank’s tax advisory business and the sale of structured products to small-and medium-sized businesses.

Sky News reported the consultation earlier today.

To contact the reporter on this story: Howard Mustoe in London at hmustoe@bloomberg.net

To contact the editor responsible for this story: Edward Evans at eevans3@bloomberg.net


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