Credit Suisse fires Chinese employees
2022.11.22 12:01
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Credit Suisse fires Chinese employees
Budrigannews.com – According to sources with knowledge of the situation, Credit Suisse has laid off approximately one third of its China-based investment banking team and nearly half of its research department as part of a global restructuring and as its China business slows.
Because the information is private, the sources did not want to be identified.
When contacted by Budrigannews, Credit Suisse declined to provide specific remarks regarding the Chinese layoffs.
According to two sources, more than 20 investment bankers based in China have been informed of the layoffs at Credit Suisse Securities (China), the bank’s 51 percent-owned joint venture.
According to Credit Suisse’s China annual report, the investment banking division had 68 employees at the end of last year.
According to sources, Wall Street banks have been preparing to cut jobs in Asia that focus on China in light of stringent COVID-19 restrictions and weak growth in the world’s second-largest economy.
This month, Budrigannews reported that Morgan Stanley (NYSE:)was set to announce worldwide staff reductions, with China-related business teams bearing the brunt.
According to the sources, approximately ten research employees have been laid off at Credit Suisse’s China venture.According to the department’s annual report, there were 24 employees at the end of last year.
In an effort to move away from its scandal-plagued investment bank and toward banking for the wealthy, Credit Suisse made the announcement last month that it would be cutting thousands of jobs and raising 4.18 billion Swiss francs ($4 billion) in capital.
In an interview with Reuters earlier this month, the bank’s Asia Pacific CEO Edwin Low stated that “China and Hong Kong will be the biggest growth market” for Asia Pacific headcount. The bank plans to begin providing wealth management services in China next year after securing full ownership of its local securities venture.
