British multinational universal bank Barclays has reduced its workforce by as much as 5000 in 2023.
As confirmed by the bank, this has been a part of cost cutting measures that were announced in the previous year.
Read on to find out all the details!
Barclays Reduces Its Workforce by 5000; What Is the Reason?
As part of a significant cost-cutting initiative that was unveiled last year, Barclays reduced its workforce by about 5,000 positions in 2023, the bank said on Monday.
The lender confirmed for the first time Reuters reports from November of last year that the lender was considering thousands of cuts in that division, stating that the majority of the cuts were made in Barclays Execution Services (BX), the bank’s support unit.
A spokesperson of the bank stated, “Barclays removed approximately 5,000 headcount globally through 2023 as part of its ongoing efficiency programme designed to simplify and reshape the business, improve service, and deliver higher returns.”
As per the bank’s Chief Executive C.S. Venkatakrishnan, the job cuts are a part of a “material structural cost actions.”
Cost Cutting Measures Ahead Of Presentation To Investors
This is a move to increase profitability ahead of a presentation to the investors that will be scheduled in Feburary. This presentation will also showcase the bank’s annual results.
Apparently, the overall cost-cutting drive had already been announced by the bank and the job cuts had been reported by news sources. However, the bank’s statement reveals the extent to which Barclays has taken efforts so far.
The bank has also confirmed that its UK chief operating officer function has also been reduced.
In february 2023, we reported that Barclays docked 500 million pounds from its 2022 bonus pool, in part to punish staffers involved in messaging by WhatsApp and other services.
It was also in the cohort that had to settle with U.S. regulators last year.
We will keep you informed as we get any more updates!
