Financial service group ING on Wednesday announced plans to cut its workforce by 2,350, describing the plan as ‘painful’.
Some 1,350 jobs will go at the insurance arm and 1,000 in the banking division, generating structural savings of some €460m from 2015 onwards. The measures are a result of a ‘strategic’ review of both operations.
ING booked sharply lower profit of €609m in the third quarter of 2012, down 64% on the year-earlier period.
Underlying operating profit from banking operations was up 16.3% at just over €1bn while the insurance result was down over 90% to €44m.
During the third quarter, ING announced a number of divestments and ‘made good progress’ in its ‘constructive dialogue with the European Commission about revisions to the restructuring plan,’ chief executive Jan Hommen said in a statement.
The European Commission ordered ING to sell off some activities in return for a €10bn bail-out in 2008.
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