Unionists Push Back Against Deutsche Bank - Commerzbank Merger
- The labor representatives say the merger will kill 30,000 jobs
A possible Merger Merger A merger is defined as the absorption of the interest of another. It can include an estate, or contract. There are no specific rules or formats for a union in general. It is a method of combining two or more organizations, business concerns, or other related interests. The terms of a merger are usually by agreement of the parties involved. In the financial sphere, merger refers to an agreement between two or more companies or corporations, public and private, to merge into one entity. Mergers d A merger is defined as the absorption of the interest of another. It can include an estate, or contract. There are no specific rules or formats for a union in general. It is a method of combining two or more organizations, business concerns, or other related interests. The terms of a merger are usually by agreement of the parties involved. In the financial sphere, merger refers to an agreement between two or more companies or corporations, public and private, to merge into one entity. Mergers d Read this Term between German banking giants Deutsche Bank and Commerzbank has faced strong push back from supervisory board members.
According to Bloomberg, labor representatives on Deutsche Bank’s oversight body oppose the deal.
Jan Duscheck and Stephan Szukalski say that a merger between the two banks would result in 30,000 people losing their jobs.
The labor representatives also claim that the resulting company would not actually make the two banks any stronger, defeating the purpose of any deal between them.
“We reject a merger,” Duscheck told Bloomberg, adding that the merger “would not create a national champion” and make the firm more likely to be taken over by a foreign company.
Szukalski, who is the head of German banking union DBV, also dismissed the merger, calling it “economic nonsense.”
Unionists still wield a hefty amount of power in Germany. It is not uncommon for employee representatives to take up half the seats on a supervisory board.
Shareholders and regulators not on board
But unionists are not alone in their skepticism of the deal. Regulators and shareholders have apparently expressed concern over the possible merger, citing the innumerable hurdles the two banks would have to overcome to make it work.
Rumors of a merger emerged in January, though the two banks also discussed the matter, albeit informally, three years ago.
The deal is a result of a series of poor performances on the part of Deutsche Bank, whose executives have been struggling to make the bank profitable again after years of stagnation.
Talk of a merger surfaced after the bank reported its eighth consecutive year of fourth-quarter losses.
A possible Merger Merger A merger is defined as the absorption of the interest of another. It can include an estate, or contract. There are no specific rules or formats for a union in general. It is a method of combining two or more organizations, business concerns, or other related interests. The terms of a merger are usually by agreement of the parties involved. In the financial sphere, merger refers to an agreement between two or more companies or corporations, public and private, to merge into one entity. Mergers d A merger is defined as the absorption of the interest of another. It can include an estate, or contract. There are no specific rules or formats for a union in general. It is a method of combining two or more organizations, business concerns, or other related interests. The terms of a merger are usually by agreement of the parties involved. In the financial sphere, merger refers to an agreement between two or more companies or corporations, public and private, to merge into one entity. Mergers d Read this Term between German banking giants Deutsche Bank and Commerzbank has faced strong push back from supervisory board members.
According to Bloomberg, labor representatives on Deutsche Bank’s oversight body oppose the deal.
Jan Duscheck and Stephan Szukalski say that a merger between the two banks would result in 30,000 people losing their jobs.
The labor representatives also claim that the resulting company would not actually make the two banks any stronger, defeating the purpose of any deal between them.
“We reject a merger,” Duscheck told Bloomberg, adding that the merger “would not create a national champion” and make the firm more likely to be taken over by a foreign company.
Szukalski, who is the head of German banking union DBV, also dismissed the merger, calling it “economic nonsense.”
Unionists still wield a hefty amount of power in Germany. It is not uncommon for employee representatives to take up half the seats on a supervisory board.
Shareholders and regulators not on board
But unionists are not alone in their skepticism of the deal. Regulators and shareholders have apparently expressed concern over the possible merger, citing the innumerable hurdles the two banks would have to overcome to make it work.
Rumors of a merger emerged in January, though the two banks also discussed the matter, albeit informally, three years ago.
The deal is a result of a series of poor performances on the part of Deutsche Bank, whose executives have been struggling to make the bank profitable again after years of stagnation.
Talk of a merger surfaced after the bank reported its eighth consecutive year of fourth-quarter losses.