LONDON, Oct 13 (IFR) - Deutsche Bank has imposed a hiring
freeze across the bank as chief executive John Cryan steps up
his plan to reduce headcount to slash costs, according to person
familiar with the matter.
Cryan sent the bank's divisional chief operating officers a
message on Thursday saying hiring had been put on hold with
immediate effect. He did not say how long it would last or how
much it would save, the person said.
The hiring freeze affects all divisions, excluding
compliance and some control functions, the person said.
Cryan is trying to revive the fortunes of Germany's flagship
lender but faces a number of challenges. The US Department of
Justice said it wants to fine the bank US$14bn for mis-selling
mortgage-backed securities. The bank is negotiating a
settlement, but fears of a multi-billion dollar fine have raised
concerns it will need to raise capital, sending its shares
Cryan has said he plans to cut 9,000 jobs as part of his
turnaround plan, dubbed Strategy 2020.
The bank said last week it had reached an agreement with
labour representatives to cut 1,000 positions in Germany, adding
to 3,000 job cuts agreed with unions in June.
Other banks aiming to cut jobs have also imposed hiring
Barclays imposed a freeze last November, and chief executive
Jes Staley said last month the bank had axed 13,600 net jobs
since then, or 10% of its staff, mainly due to not filling
(Reporting by Steve Slater)