* Commerzbank to cut 12 percent of staff
* Around 3,900 cuts come from German operations
* Overall cuts to eliminate 5,200 jobs
FRANKFURT, June 19 Germany's second-largest
lender Commerzbank said on Wednesday it will cut 5,200
jobs, about 12 percent of its 45,000 full-time staff, adding to
job-shedding by banks across Europe.
Banks including Lloyds, state-owned Dutch bank ABN
AMRO and HSBC have been cutting jobs this
year as tougher regulation after the global financial crisis and
weak investment returns squeeze profit margins.
Commerzbank, 17 percent state-owned since a bailout during
the crisis, posted a net loss of 94 million euros ($126 million)
in the first three months of this year and booked a 493 million
euro restructuring charge linked to 4,000-6,000 job losses.
Around 3,900 jobs will be eliminated at the core bank in
Germany, including 1,800 cuts at the retail bank. These are part
of a 2 billion euro overhaul announced in November, which
includes a revamp of retail business in Germany.
The German operations employ about 41,000 staff.
Because around 1,000 jobs will be created at Commerzbank's
Mittelstandsbank unit that works with medium-sized companies,
net job losses will be reduced. Commerzbank will be able to cut
headcount without forced redundancies, supervisory board member
Mark Roach said.
The cuts do not include staff reductions at Hypothekenbank
Frankfurt, a unit formerly known as Eurohypo.