Sabadell proposes to dismiss 1,900 employees in Spain, 13% of the template

Banco Sabadell has raised by Thursday to the unions the dismissal of some 1,900 employees in Spain, about 13% of the staff, with the aim of the entity to win pr

Sabadell proposes to dismiss 1,900 employees in Spain, 13% of the template

Banco Sabadell has raised by Thursday to the unions the dismissal of some 1,900 employees in Spain, about 13% of the staff, with the aim of the entity to win profitability and efficiency, according to EFE sources of negotiation.

The Sabadell justifies these new adjustments because it considers that the effort made over 2021 with the voluntary output plan is not enough for the Bank to be competitive and guarantee their sustainability.

Since the management, the unions have insisted on which the current profitability is 3%, well below the capital cost, greater than 9%, and in which the environment of interest rates historically low, the volume of provisions and Investments in technology do not help.

The pandemic has also meant a rise of digitization and a change in the behavior of the clients, which has resulted in a decrease in the operation in the Bank's offices, whose network would now be, in the eyes of the entity, oversized.

The Sabadell has decided to hire the Manpower Temporary Working Company to carry out the recollection plan of the 1,900 employees affected by the collective dismissal of the Bank, which at the end of June had a staff of 14,648 workers.

The entity is convinced that the recolition plan is "above market standards" and insists on their intention to achieve an agreement with the beneficial unions for all and seek maximum voluntariness.

Updated Date: 03 September 2021, 15:04

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