"The Mood Is Pretty Hopeless": Scene Outside Deutsche Bank Offices Evokes Lehman Collapse
9 July, 2019
At the end of the day, all of the frenzied whispers in the press about Deutsche Bank CEO Christian Sewing's sweeping restructuring hardly did it justice. Instead of moving slowly, the bank started herding hundreds of employees into meetings with HR, first in its offices in Asia (Hong Kong, Sydney), then London (which got hit particularly hard) then New York City.
"A lot of these people are going to have to get used to less compensation," said Richard Lipstein, managing director at recruiting firm Gilbert Tweed International, in a telephone interview. And "the percentage of compensation in cash is lower than it used to be."
"A lot of the people coming out of DB are going to be very challenged to find jobs just because of the sheer change in the equity business," said Michael Nelson, a senior recruiter at Quest Group. "When you are dispersing that many people globally, some of those people might have to leave the business."
Staff leaving in Hong Kong were holding envelopes with the bank’s logo. Three employees took a picture of themselves beside a Deutsche Bank sign outside, hugged and then hailed a taxi.
"They give you this packet and you are out of the building," said one equities trader.
"The equities market is not that great so I may not find a similar job, but I have to deal with it," said another.
Few staff wanted to speak outside the bank’s London office, but trade was picking up at the nearby Balls Brothers pub around lunchtime.
"I got laid off, where else would I go," said a man who had just lost his job in equity sales.
A Deutsche Bank employee in Bengaluru told Reuters that he and several colleagues were told first thing that their jobs were going.
"We were informed that our jobs have become redundant and handed over our letters and given approximately a month’s salary," he said.
"The mood is pretty hopeless right now, especially (among)people who are single-earners or have big financial burdens such as loans to pay," he added.
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