15,000 more jobs to go at Lloyds Banking Group

| June 30, 2011 | 0 Comments

Banking giant Lloyds is to axe a further 15,000 jobs, as part of a cost-cutting exercise and will see the bank withdraw from international banking.

The job cuts were first unveiled by the Sunday Times earlier this month but have only been confirmed today.

The banking giant, which is 41% owned by the taxpayer, has axed more than 27,500 jobs since its merger with HBOS at the height of the financial crisis, some of which were due to overlap following the merger.

As a result, the latest round of job cuts takes the total number of job losses to around 43,000.

The job cuts come after Lloyds recently commenced the sale of its 600+ branches and a large part of its mortgage operations after being ordered to sell assets by the European Commission, as a punishment of the billions of pounds in state aid that the bank received at the height of the financial crisis.

Returning to today’s announcement, the bank said no UK branches are expected to close with the job losses likely to be in middle management and back office functions.

The job losses were announced by chief executive, Antonio Horta-Osorio, who assumed the role earlier this year after being poached from Santander.

He has made several changes within the Lloyds management team since he took on the role, which has seen the departure of two board members.

He commented: “This bank is losing money. We have to get this bank supporting the UK economy, we have to get this bank profitable and we have to repay taxpayer support.”

Meanwhile, commenting on the latest job losses, the Unite union again criticised the bank and said the review would cause “deep distress and anxiety”.

Tags: António Horta-Osório, , , , , , strategic review

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