Type
Internal restructuring
Country
France
Region
Location of affected unit(s)
Sector
Financial Services
Financial And Insurance Activities
Financial Service Activities, Except Insurance And Pension Funding
64.19 - Other monetary intermediation

640 jobs
Number of planned job losses
Job loss
Announcement Date
9 November 2020
Employment effect (start)
1 March 2021
Foreseen end date

Description

The Société Générale bank has announced a reorganisation and will make a net reduction of around 640 positions in France, with no forced dismissals. The aim is to improve its operating efficiency and structural profitability, notably by merging its network with that of its subsidiary, Crédit du Nord. This reduction in staff numbers concerns several business lines in Paris and the regions: certain market activities, compliance (control of compliance with regulations within the group), risks, human resources and communication. In April 2019, the banking group had, in fact, undertaken to cut 1,600 positions, including 750 in France.

The bank said that the reorganisation is due to the low interest rate and to developments in digitalisation which are changing the environment the bank works in.

On 28 November 2017, the bank has announced to investors the additional closure of about 100 branches with 900 job cuts.  In September 2015, Sociéte Générale announced that it was going to cut 420 positions in France by the end of 2017 in the framework of a costs saving programme of €850 million in the bank’s corporate and investment banking sectors. A previous restructuring also affected these activities in 2013. The workforce of the bank has decreased over the last few years due to restructuring plans announced at a worldwide level in 2012 and 2013 ; and in France, in 2010, mid 2013 and end of 2013


Sources

Citation

Eurofound (2020), Société Générale, Internal restructuring in France, factsheet number 102558, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/102558.