Deutsche Bank’s SHOCKING Hiring Spree: Is This the End of Cost-Cutting?
MASSIVE Job Growth at Deutsche Bank Has Stunned Analysts!
In a jaw-dropping twist, Deutsche Bank has gone on a hiring frenzy over the last three years, erasing nearly all the hefty job cuts initiated by CEO Christian Sewing at the start of his tumultuous reign! What does this mean for the future of one of Germany’s banking giants?
COST-CUTTING Plans CRASH and BURN!
Despite Sewing’s bold promises to slash 18,000 jobs from the bank’s workforce of 92,000 by 2022, the actual figures reveal a different story. The employee count hovers around 90,000, just shy of the last major workforce cuts. An astounding 11% increase in non-client-facing staff has occurred, even as Sewing has struggled to trim costs in a serious way. Revenues may have surged by 19%, but Sewing has let five cost-cutting pledges slip through his fingers since 2021!
TRAPPED in a Cost-Cutting NIGHTMARE!
Data reveals that while front-office bankers have remained steady at 32,000, the bloated back-office workforce has skyrocketed to 58,000! Critics are questioning why billions in IT investment have not translated into the promised automation and efficiency. Instead, the very areas that drive income are stagnating!
Back-Office Domination—What’s Going On?
Sewing’s strategy to tackle “infrastructure functions” has all but backfired, as the number of employees in HR, operations, compliance, and more mushroomed to 58,000 by year’s end. With back-office roles now nearly double those of front-office staff, Deutsche Bank is in danger of being buried under its own weight!
Retail Arm In TURMOIL: 757 Branches SHUTTERED!
Even as Deutsche Bank’s retail unit prunes its branches—closing 757 since 2018—questions arise over its baffling operational struggles, particularly stemming from a disastrous IT integration effort. The overwhelming rise in back-office personnel has practically negated the drop in client-facing staff, leaving analysts reeling!
Is Compliance a CRIPPLING Cost?
Deutsche Bank’s gambit to boost its “technology and controls” appears to be backfiring, burdened by regulatory scrutiny and a backlog of issues following the migration of the troubled Postbank brand. Sources claimed internal processes now require an absurd number of signatures—“more than 50 just to onboard a vendor!” A Deutsche Bank spokesperson downplayed those claims, adding it’s common to have just a couple of signatories.
THE BIGGEST TWIST: 2024’s Job Cuts HITTING BACK-OFFICE!
In a shocking turn of events, Deutsche Bank did slash 3,500 back-office jobs, but quickly filled new positions with 1,300 tech specialists and 400 revenue-generating staff! In the end, the total headcount went down only marginally, and the question remains—can Deutsche Bank recover before it sinks under its own organizational chaos?
Stay tuned, folks, because Deutsche Bank is at a crossroads, and the financial world is watching closely!
photo credit: www.ft.com
