SocGen to Cut 80 London Jobs as Bank Pares Back Securities Unit
About half the positions are being cut at SocGen securities services unit, known as SGSS, in the U.K. capital.
(Bloomberg) -- Societe Generale SA is planning to cut about 80 positions in London as the lender scales back a business that provides securities services to asset managers, banks and brokers.
About half the positions are being cut at SocGen securities services unit, known as SGSS, in the U.K. capital, according to people with knowledge of the matter. The remainder mostly affects local compliance and support teams, the people said, asking not to be identified as the matter is private.
The SGSS unit will “retain only commercial activities that support U.K. asset managers across its European operations, including Luxembourg and Ireland, where these managers are particularly active,” the bank said in an emailed statement. “For those U.K. staff impacted by this proposal, a consultation process has been launched.”
SocGen’s CEO Frederic Oudea is under pressure to turn around the bank after it recorded its first annual loss in more than three decades last year. Last November, SocGen announced a round of 640 job cuts in its French investment bank, some of which already affected the bank’s French securities business.
The cuts adds to the gloomy outlook for the city of London after Brexit, as banks and financial institutions move assets and jobs to the continent. Last year, French lender Natixis announced it would cut 50 positions in the U.K., 30 of which would be relocated in Paris.
“In line with the group’s adjustment plan to strengthen its operational efficiency and adapt its businesses to improve its financial competitiveness in a challenging economic environment, Societe Generale U.K.’s platform has proposed a targeted and limited local adjustment plan,” the bank said.
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