Deutsche Bank to Cut Jobs at Sal. Oppenheim Wealth Manager Unit

Deutsche Bank AG (DBK), Germany’s largest bank, is in talks with employee representatives on reducing headcount at its Sal. Oppenheim unit as the wealth manager will use more services offered by its parent.

The company will eliminate overlap between Sal. Oppenheim and Deutsche Bank over the next 15 months which will affect a “significant” number of jobs, the Cologne, Germany-based division said today in an e-mailed statement. Deutsche Bank will seek to avoid forced firings, it said.

Global banks are letting staff go to reduce costs as clients shy from trades amid Europe’s debt crisis and as stricter capital rules make some business unprofitable. Deutsche Bank said Oct. 30 it will complete the majority of a targeted 1,993 job cuts, including 562 in asset and wealth management, throughout the bank by year-end. It has said staff cuts will exceed its initial targets.

Almost 500 jobs at Sal. Oppenheim will be cut by Deutsche bank through the end of the first quarter of 2014, Sueddeutsche Zeitung reported today on its website, citing several unidentified people familiar with the matter.

Parts of Sal. Oppenheim, such as public funds, will be integrated into Deutsche Bank, according to the statement. The unit will focus on private clients and certain institutional customers, as well as expanding its custodian bank business in Luxembourg and Cologne, the company said.

To contact the reporter on this story: Nicholas Comfort in Frankfurt at ncomfort1@bloomberg.net

To contact the editor responsible for this story: Frank Connelly at fconnelly@bloomberg.net