Switzerland’s third-largest bank says it will cut up to 200 jobs to save CHF100 million ($100 million) this year.
Raiffeisen is reorganising and undertaking a cost-cutting programme. This follows a recent fraud allegation scandal involving its former chief executive.
The co-operative bank said in a statement on ThursdayExternal link: “In addition to structural optimization, Raiffeisen Switzerland wants to increase its efficiency. Through a systematic review of personnel and material costs, a savings target of up to CHF100 million is to be achieved. At Raiffeisen Switzerland, a maximum of 200 jobs will be affected.”
It said many of the jobs cuts would be achieved through ‘natural fluctuations’ and early retirements. The restructuring follows changes to the executive board and management teams.
Raiffeisen was hit last year by a governance scandal over the business activities of a previous chief executive, Pierin Vincenz, who left the bank in late 2015.
Zurich’s attorney general is investigating the former Raiffeisen boss for potentially improper business management – including cashing in on company takeovers of the credit card company Aduno and the investment company Investnet.
In January 2019, an independent study found no evidence that Vincenz or other former or current Raiffeisen managers had behaved in a criminally relevant manner or personally enriched themselves.
All members of the board who had served before 2015 under Vincenz are no longer working for the institution.
In compliance with the JTI standards