Mama bank Crédit Agricole has announced that it will be reducing the workforce at it’s investment banking arm Calyon by 500 people, well below the originally predicted 1200. CA said the job cuts in France would be based on “voluntary redundancies”.
For all you detail lovers out there, CA is targeting net income of 1 billion euros for Calyon by 2010, a cost-income ratio of 60% and a return on equity (ROE) of 14-16% on the basis of normalised risk-related costs and Calyon will be closing parts of its structured credit and derivatives activities.
Calyon has posted losses over the last three quarters. Look for job cuts at Natixis next. Fun times for soon-to-be jobseekers!