UBS Group AG Plans 10,000 Job Cuts: Will it Boost Efficiency?

UBS Group AG UBS is preparing to cut up to 10,000 employees globally by 2027 as it advances the integration of Credit Suisse, according to Business Today news, which was published on MSN News. The reduction could affect roughly 9% of UBS’s workforce, which stood at about 110,000 at the end of 2024.Since acquiring Credit Suisse in 2023, the company has already eliminated approximately 15,000 positions, mainly from overlapping roles created by the merger. In the third quarter of 2025, the bank cut nearly 322 positions compared with the previous quarter and 6,549 compared with the same period last year. Looking ahead, workforce reduction may accelerate depending on the progress of Credit Suisse’s integration. These reductions are aimed at removing redundant positions, improving operational efficiency, and supporting the broader structural consolidation required to integrate Credit Suisse’s operations fully.While the pace of job cuts is accelerating, UBS continues to make progress on broader cost reductions and streamlining operations, including branch consolidations, client account migrations, and reducing its non-core and legacy portfolios.  The bank has already migrated more than 90% of Credit Suisse’s Wealth Management accounts in Luxembourg, Hong Kong, Singapore, and Japan. It has also transferred more than two-thirds of all Credit Suisse client accounts booked in Switzerland as of October 2025.Meanwhile, the company’s risk-weighted assets in the Non-Core and Legacy division have declined 64% by the end of the third quarter of 2025, ahead of plan, with targets to fall below $8 billion by year-end and $4 billion by 2026. Since 2022, UBS has delivered $10 billion in gross savings, representing roughly 77% of its $13 billion exit-rate savings target for 2026.These measures reflect the company’s disciplined effort to integrate Credit Suisse, streamline operations, and optimize efficiency as it navigates ongoing staff reductions.Similar Move by Other Financial FirmsIn June 2025, BlackRock, Inc. BLK announced plans to cut 300 jobs, affecting more than 1% of its workforce. This marked the company’s second reduction this year, following a January cut of approximately 200 positions aimed at realigning resources with the firm’s strategic priorities. Since 2023, BlackRock’s employee count has grown by more than 14% after acquiring Global Infrastructure Partners in October 2024 and Preqin Ltd. in March 2025.The workforce reductions aim to streamline operations and optimize resources, supporting BlackRock’s efforts to improve profitability and integrate its recent acquisitions.In the same month, Citigroup Inc. C announced it would reduce approximately 3,500 jobs at its Shanghai and Dalian technology centers by the fourth quarter of 2025, following a $136 million U.S. regulatory fine tied to data management issues. The reductions are part of Citigroup’s broader global overhaul, which includes 20,000 workforce cuts by 2026, aiming to simplify governance, reduce management layers, and improve operational efficiency, with expected annualized savings of $2–2.5 billion.The move aligns with ongoing efforts to focus on core businesses, including the exit from consumer banking operations in 14 international markets, freeing capital for higher-return segments like wealth management and investment banking. UBS’ Zacks Rank & Price PerformanceOver the past six months, UBS shares have gained 23.4% compared with the industry’s growth of 20.4%.Image Source: Zacks Investment ResearchCurrently, the company carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Zacks Naming Top 10 Stocks for 2026Want to be tipped off early to our 10 top picks for the entirety of 2026? History suggests their performance could be sensational.From 2012 (when our Director of Research Sheraz Mian assumed responsibility for the portfolio) through November, 2025, the Zacks Top 10 Stocks gained +2,530.8%, more than QUADRUPLING the S&P 500’s +570.3%.Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2026. Don’t miss your chance to get in on these stocks when they’re released on January 5. Be First to New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Citigroup Inc. (C): Free Stock Analysis Report BlackRock (BLK): Free Stock Analysis Report UBS Group AG (UBS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks