Deutsche Bank AG plans to hire about 500 employees in compliance, risk and technology in the U.S. amid heightened scrutiny of the industry by regulators.
The hires at Germany’s largest bank are to be made by the end of 2014, Jacques Brand, 53, head of Deutsche Bank North America, said in a telephone interview. The firm also plans to recruit in finance and operations in the U.S., he said.
Banks around the world are under pressure to beef up their regulatory compliance and are accelerating staff hires in those divisions following probes by U.K. and other global regulators into the manipulation of benchmark interest rates, the alleged rigging in currency markets and money laundering. Deutsche Bank told investors in January that it was investing in more robust controls and hiring to meet regulatory challenges.
Deutsche Bank will also “continue to invest in technology and strengthening control functions as we aim to deliver the franchise more efficiently and with higher quality service to our clients,” Brand said.
Other banks are also strengthening their risk controls. Barclays Plc, U.K.’s second-largest bank, said this month it will open a Compliance Career Academy with Cambridge University’s Judge Business School to provide technical and behavioral training to staff. It plans to open the course to staff at other firms and award certificates in compliance.
BNP Paribas SA, France’s largest bank, pleaded guilty and agreed to pay a record $8.9 billion for violating U.S. sanctions last month, while Credit Suisse Group AG paid $2.6 billion and pleaded guilty to helping Americans cheat on their taxes.