London Stock Exchange to cut about 10% jobs-sources
By Daisy Ku
LONDON, June 25 (Reuters) - The London Stock Exchange Group (LSE.L) is to cut about 10 percent of its staff as new chief executive Xavier Rolet looks to save costs, people familiar with the matter said on Thursday.
Rolet, who replaced Clara Furse as the bourse's CEO last month, had said he was looking at the cost base.
The LSE has started consultations with staff and is likely to reach a conclusion in three to six weeks, a person familiar with the matter said. Another source said the move could cost 120 jobs in Britain and Italy.
"A process is in place," said an LSE spokesperson. "With a new CEO at the helm, LSEG (LSE Group) has been reviewing its operational structure and has identified changes to how it organised.
"These changes will lead to job losses as well as new opportunities for some staff."
Employee costs, 13 percent of the LSE's expenses, rose 14 percent to 113 million pounds ($184 million) in 2008-09, despite a 6 percent reduction in employees to 1,135.
Analysts have said the LSE needs to reduce costs aggressively as new entrants have leaner structures.
The operating cost of cash equity trading rival Chi-X, for example, is about $20 million, compared to the LSE's $1.4 billion. (Editing by ; Editing by Dan Lalor) ($1 = 0.6153 pound)
