Quote:
Originally Posted by oilers_fan
http://www.cbc.ca/m/news/business/sc...rges-1.2822896
I'm trying my best to not get prematurely outraged here, but it's hard. 6 billion dollar profit last year and they have to cut this many jobs, two thirds of which are in Canada, to save money? Maybe some of the more financially knowledgeable people can help explain this move.
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There's a lot of regulatory pressure on the Canadian banks. As a result of the financial crisis the capital requirements that are put on banks have increased and now they have to comply with these new rules. It makes growth in mature markets like Canada tough to come by as a bank and as such in order to generate returns they have to get more efficient. A lot of the jobs cut in Canada are in mid-office type work that can potentially be automated. The other cuts are occurring in Latin American operations where revenue growth has not lead to profit increases.