Swiss investment bank Credit Suisse (CS) said on Nov.1 that it will cut another 3% of its workforce or an additional 1,500 jobs after a disappointing third quarter and expectations that difficult market conditions will persist.
The latest cuts come on top of earlier plans to slash 2,000 jobs announced in July following a tough second quarter.
The firm raised its cost-saving target to 2 billion Swiss Francs ($2.3 billion) from 1 billion Swiss Francs previously announced. Credit Suisse now expects headcount reductions in its investment banking operations and other efficiency measures to generate 1.2 billion Swiss Francs in savings by 2012 and the remaining 0.8 billion will be generated by the end of 2013."We believe subdued economic growth and the low interest rate environment and increased regulation that we are seeing may persist for an extended period. We may well continue to see continued low levels of client activity and a volatile trading environment," Credit Suisse CEO Brady Dougan said in a statement following the results.