Global Bank Jobs at Stake Over Capital Shortfall

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Barclays, RBS and Lloyds say they’re squeezing parts of their businesses to stem a 27.1 billion-pound capital shortfall by the end of the year. There’s no word on how many jobs may be slashed but they may have to shave off staff from underperforming units to meet regulators’ growing demands.

That’s bad news for Britain’s bleeding banks. The four biggest banks in Britain -- Lloyds, HSBC, RBS and Barclays – are expected to axe 24% of their headcounts, sinking staff to a nine-year low of 606,000, compared with a high of 795,000 in 2008, according to recent Bloomberg data. That’s 189,000 jobs around the world and now there’s likelihood of more global cuts.

Investment bankers at Barclays are likely safe, given better-than expected profits in the unit. But traders could be at risk after an independent review, commissioned by Barclays after the interest-rate scandal, found that pay for top Barclays executives and traders is much higher than at rival firms.

RBS could cut deeper into its markets business, following a plunge in markets revenue that was blamed for a 19% decline in operating profit in the core unit.

Lloyds has been selling assets to bolster capital and recently dumped a 20% stake in wealth manager St. James’s Place and may get rid of its Scottish Widows Investment Partnership unit. But that may not be enough and the bank may be forced to cut even more jobs.

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If you are looking for work, avoid doing these things.

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(Source: AOL Jobs)

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