Another top Japanese lender is set for job cuts, with the brokerage arm of Mitsubishi UFJ Financial Group about to cut half of its staff in Asia outside of Japan, according to a report from Reuters today.
According to the report, which cites two people familiar with the matter who don’t want to be identified as the information isn’t public, the brokerage is restructuring its operations, and it will be finalized as early as Wednesday.
Specifically, the firm is looking to cut jobs in Hong Kong, Singapore, and Australia. According to the sources, Mitsubishi UFJ Securities is looking to reduce around 180 jobs down to below 100.
The units that will be particularly hit is sales and trading, whereas the debt capital markets division will be largely untouched. The decision will be finalized at a management meeting by executives of the company as early as Wednesday, the people said.
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Speaking to the news outlet, a Mitsubishi UFJ spokesman said: “From the perspective of enhancing our competitiveness, we constantly consider making our business more efficient globally. But there is nothing particular finalised at this moment.”
The downsizing by Mitsubishi UFJ might have something to do with difficult market conditions, which many top financial firms – particularly in Japan, have been struggling with. In the three quarters ended June 30, 2019, the company reported a 91 percent decline in net profit.
Top Japan firms downsize operations
The job cuts by Mitsubishi UFJ follow on from Nomura, another big financial company in Japan, who recently made a sizable number of job cuts in its overseas business in its wholesale unit.
As Finance Magnates reported, in April, the Japanese firm revealed that it would be laying off around 100 employees in its European business, in an attempt to get its overseas operations back to profit sustainability.