We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
RBS Eliminates 450 Jobs as Restructuring Continues
Read MoreHide Full Article
The Royal Bank of Scotland Group plc is reportedly eliminating 450 service jobs as it scales back operations to focus on retail and commercial banking business in the U.K. Also, further job cuts are expected to be announced in the upcoming weeks. The news was first reported by the Financial Times on Sunday, citing people familiar with the matter.
In a statement the bank noted, “As RBS becomes a smaller UK-focused bank, we are restructuring our support services to better align with the business we are becoming. These changes unfortunately mean some job losses.” RBS also added, “We understand how difficult this is for our staff and will be offering as much support as we can including redeployment to other roles where possible.”
The downsizing should not come as a surprise to investors as RBS, which was rescued from the onslaughts of the crisis with a £45 billion bailout by the British government in 2008, is striving for growth with several cost reduction initiatives including reduction of head count and branch closures. The company continues to face revenue pressure amid low, sometimes even negative interest rates and slow growth in economy. Notably, 2015 marked the eight straight years of annual losses.
At a time when the government backed banking giant is burdened with numerous litigations and operational inefficiencies, we remain optimistic about the vast restructuring moves. These moves should not only enhance the company's capital levels but also shift its focus to more profitable markets and pave the way for sustainability and growth in the long run.
RBS currently carries a Zack Rank #4 (Sell). Some favorably ranked stocks in the foreign banks space include Australia & New Zealand Banking Group Limited (ANZBY - Free Report) , Bank of Montreal (BMO - Free Report) and Itaú Unibanco Holding S.A. (ITUB - Free Report) . Both Australia & New Zealand Banking Group and Bank of Montreal sport a Zacks Rank #1 (Strong Buy) while Itau Unibanco carries a Zacks Rank #2 (Buy) .
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
RBS Eliminates 450 Jobs as Restructuring Continues
The Royal Bank of Scotland Group plc is reportedly eliminating 450 service jobs as it scales back operations to focus on retail and commercial banking business in the U.K. Also, further job cuts are expected to be announced in the upcoming weeks. The news was first reported by the Financial Times on Sunday, citing people familiar with the matter.
In a statement the bank noted, “As RBS becomes a smaller UK-focused bank, we are restructuring our support services to better align with the business we are becoming. These changes unfortunately mean some job losses.” RBS also added, “We understand how difficult this is for our staff and will be offering as much support as we can including redeployment to other roles where possible.”
The downsizing should not come as a surprise to investors as RBS, which was rescued from the onslaughts of the crisis with a £45 billion bailout by the British government in 2008, is striving for growth with several cost reduction initiatives including reduction of head count and branch closures. The company continues to face revenue pressure amid low, sometimes even negative interest rates and slow growth in economy. Notably, 2015 marked the eight straight years of annual losses.
At a time when the government backed banking giant is burdened with numerous litigations and operational inefficiencies, we remain optimistic about the vast restructuring moves. These moves should not only enhance the company's capital levels but also shift its focus to more profitable markets and pave the way for sustainability and growth in the long run.
RBS currently carries a Zack Rank #4 (Sell). Some favorably ranked stocks in the foreign banks space include Australia & New Zealand Banking Group Limited (ANZBY - Free Report) , Bank of Montreal (BMO - Free Report) and Itaú Unibanco Holding S.A. (ITUB - Free Report) . Both Australia & New Zealand Banking Group and Bank of Montreal sport a Zacks Rank #1 (Strong Buy) while Itau Unibanco carries a Zacks Rank #2 (Buy) .
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>