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

400 jobs
Number of planned job losses
Job loss
Announcement Date
1 November 2012
Employment effect (start)
10 December 2012
Foreseen end date
30 June 2014


Hipotēku Banka, a financial service provider, has announced that it will make 400 people redundant. In the beginning of November 2012 the state owned bank informed the public employment agency of a collective redundancy starting mid-December 2012 and ending mid-2014.

In 2011, state owned Hipotēku Banka was reorganized and its commercial arm was sold to Swedbank and SEB bank. The current restructuring affecting 70% of its employees follows this sale.

Hipotēku Banka currently employs approximately 550 employees. It is reported that redundancies will be implemented gradually and all redundant workers will receive compensation in accordance with the law. The bank has also stated that it plans to help redundant workers in finding new jobs. The state employment agency states that it might have 200 open vacancies suitable for the employees.

The trade union has stated that negotiations with Hipotēku Banka have reached deadlock and that it is considering industrial action.


  • 2 November 2012: Latvijas Avīze
  • 24 September 2012: diena.lv
  • 1 November 2012: db.lv
  • 2 November 2012: Dienas Bizness


Eurofound (2012), Hipotēku un Zemes Banka, Internal restructuring in Latvia, factsheet number 74506, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/74506.