Societe Generale Plans To Cut 640 Positions

​According to the latest update, Societe Generale (SocGen), the French bank, said on Monday it planned a net reduction of about 640 positions in France but said there would be no forced redundancies.

The bank, which employs more than 138,000 staff in 62 countries, said the plan would concern market activities and associated functions and would help reduce costs by about 450 million euros (405.7 million pounds) by 2022-2023.

In Q3 2020, Societe Generale Group demonstrated its ability to rebound and its financial solidity.  The Group also reaffirmed its determination to continue the in-depth adaptation of its businesses and functions in order to sustainably improve its commercial and financial competitiveness in a deteriorated and uncertain economic environment and at a time when the banking sector's structural challenges – economic, technological, competitive and ecological – are exacerbated by the Covid-19 health crisis.

In this context, the Securities Services business and several Group central functions (risk, compliance, human resources and communication) are considering organizational adjustments to improve their operational efficiency and respond to the specific challenges of their activities.

In addition, it was said that the cuts would be mainly in the investment banking division.

The bank said that, as the banking sector's structural challenges are exacerbated by the COVID-19 health crisis, it needed to boost the firm's efficiency and profitability.

To avoid forced redundancies, Societe Generale will maintain all of its commitments as a responsible employer to support each employee by encouraging mobility or by resorting to voluntary departures when necessary.