5,500 IT jobs hang in the balance at Deutsche Bank
Deutsche Bank is mulling over outsourcing up to 5,500 IT jobs - half of its IT staff or shifting jobs abroad, the FT reports today.
The paper cites unnamed bank insiders who say the idea is at an early stage but could take place over the next 18 months. Outsourcing and location-shifting are entirely different matters. With the former, the foot soldiers are transferred to the likes of EDS or IBM or CSC. With jobs moved to India, say, or Eastern Europe, the incumbent staff are transferred to the dole queue.
Deutsche Bank has already handed over its desktop operations to IBM to manage and is expected to appoint Accenture to run its procurement operations, the FT says.
German employment laws are famously tight, so it will be interesting to see if the axe will fall, as it surely will, more heavily on the likes of the UK and US, where legislatures are rather more accommodating to employers. ®