UBS Job Cuts Spark Discussion
The planned job cuts at UBS are reportedly progressing more slowly than expected. But the fact that the integration of Credit Suisse and the associated job reductions are not following a straight and steady path is something that even casual observers have noticed.
The next «major milestone» in the integration of Credit Suisse (CS), acquired in 2023, is the migration of Swiss clients to UBS’s platforms and systems and this process is expected to be completed by mid-2026. In the presentation of its half-year results, the bank had expressed optimism, stating that it was «well on track.»
Now, «Financial Times» reports that the planned job cuts at UBS are progressing more slowly than originally planned. Even though management had never stated a target for the total number of employees after the integration, which is scheduled to be completed by the end of 2026, internal planning reportedly foresaw a target headcount of 85,000 by that time, the newspaper writes, citing insider sources.
First Phase Saw Faster Cuts
As of mid-2025, UBS had 105,000 employees (full-time equivalents). At the end of June 2023, the figure was 119,000. The pace of job cuts has slowed. In the second half of 2023, more than 3,500 jobs were eliminated per quarter. Since the start of 2024, the average has been 1,300 per quarter. Since the beginning of this year, a total of 3,500 positions have been cut. This means UBS is lagging behind its intended reduction trajectory.
In the first phase of the integration, UBS primarily eliminated jobs in areas such as investment banking and in regions like Asia and the US.
Cost Targets 70 Percent Achieved
«We are working toward cost targets, not headcount numbers,» the bank said.
70 percent of the goal of reducing costs by $13 billion by 2026 has already been achieved. UBS said it is «well on track» to achieve the planned savings.
According to chief financial officer Todd Tuckner, the remaining cost reductions will be split evenly between savings on technology spending and personnel and capacity-related expenses.
Too Little Natural Attrition?
The bank has also relied on natural attrition to shrink staff numbers. Normally, around 7 percent of employees leave the company voluntarily each year. However, at the beginning of 2025, the group’s attrition rate had fallen below its historical average, a source told the British newspaper. This has made job-cutting efforts more difficult.
When filling positions, internal candidates are given priority and last year, more than two-thirds of open positions in Switzerland were filled internally.
Client Migration to Be Completed by March 2026
The insider pointed out that cost reductions are «not linear» and that the bank can only shut down some legacy CS systems after the completion of client migration at the end of March 2026.
According to UBS, the job cuts will take place over several years and will largely be achieved through natural attrition, early retirement and the relocation of external positions into the company.
«We will keep the number of roles eliminated as part of the integration as low as possible and actively support affected employees. This includes helping them find a new position within UBS or outside the company,» the bank added.
