Unicredit, anti-inflation cost cutting
UniCredit would be studying a cost-cutting plan for 500 million per limit the impact on the accounts of higher than expected inflation. The plan, writes the agency Bloombergprovides for the speeding up of process automation, the reduction of internal bureaucracy, the revision of supply contracts and consultancy.
The review of the plan
The cost-cutting plan is the consequence of the review of the impact of inflation on the three-year plan of the bank. Impact now estimated at one billion for the three yearsagainst a previous estimate of 500 million. Since his arrival in 2021, the ad Andrea Orcel he reduced the top managers and cut the structures that were a legacy of his predecessor, Jean Pierre Mustier.
Investments and dividends
The current strategic plan, presented by Orcel to end of 2021expects to cut costs by 500 million by 2024net of an inflation impact of 500 million. Also, it predicts 600 million investment one of the most ambitious shareholder compensation plans among mainland banks.
The cuts and the entrances
So far Orcel has cut 7700 net jobs since its arrival, equal to about 10% of the workforce. Most of the releases 2900 net of new entries, were in Italia. In Germania jobs were cut by 1600, while in Austria 1200. Unicredit also has a plan of new entries, mainly on the web and digital.