Copyright © BusinessAMBE 2023

Key takeaways

  • Up to 15,000 jobs at Commerzbank in Germany could be lost in a takeover by Unicredit.
  • A significant reduction in the workforce and reduced competition could have a negative impact on customers.
  • Outgoing chairman Uwe Tschäge argues for Commerzbank's independence and ability to generate strong profits independently.

Concerns have been raised about possible job losses at Commerzbank if Unicredit takes over the bank. The outgoing chairman of the works council, Uwe Tschäge, expressed fears that two-thirds of jobs at Commerzbank could disappear in Germany, resulting in the loss of about 15,000 jobs.

Tschäge stressed that such a significant reduction in the workforce and reduced competition resulting from the demise of a major German private bank would have negative consequences for customers. He welcomed opposition to the takeover from customers and politicians alike.

Independence of Commerzbank advocated

Tschäge expressed hope for Commerzbank's continued independence and emphasized the bank's ability to generate strong profits on its own. While acknowledging that size plays a crucial role in international competition, he advocated the bank's autonomy.

Unicredit currently holds about 28 percent of the shares in Commerzbank, with a direct stake of about 9.5 percent and control of another 18.5 percent through financial instruments. The German government has urged Unicredit to abandon its takeover attempt.

Background and history

Tschäge, who is retiring at the end of the year, noted that Commerzbank has always been a target for takeovers since he joined the bank in 1983.

If you want access to all articles, enjoy our promo temporarily and subscribe here!

© The Content Exchange, source News