Deutsche Boerse Said to Plan Elimination of 35 Managerial Jobsby
Voluntary leaving program was previously announced internally
Joint venture with Chinese exchanges to start next month
Deutsche Boerse AG is planning to shed 35 managers as its new chief executive officer implements his strategy for the market operator, according to two people with knowledge of the matter.
The personnel may be culled from across the company, though no one has left yet, said the people, who asked not to be identified because the plans are private. Frankfurt-based Deutsche Boerse has offices across Europe, with post-trade services in Luxembourg and Eurex personnel in London.
The company had 4,914 employees as of June 30, compared with 4,070 a year earlier, according to a July report. Some jobs were added in relation to acquisitions and “strategically important projects,” the report said.
Heiner Seidel, a spokesman for Deutsche Boerse, declined to comment.
CEO Carsten Kengeter is quickly putting his mark on Europe’s biggest trading platform by market capitalization. Apart from a management overhaul, he’s eyeing Asia and the U.S. to increase growth. Deutsche Boerse also expanded into foreign-exchange trading with a 725 million-euro ($819 million) acquisition in July.
The market operator’s joint venture with two Chinese exchanges to offer yuan-denominated instruments is set to start next month. It recently delayed the launch of its Singapore derivatives market to 2017.
The company has recently hired executives who, like Kengeter, have banking experience. Those additions include Rob Jolliffe, who became global head of sales on Aug. 5. Like his boss, Jolliffe previously worked at Goldman Sachs Group Inc. and UBS Group AG. Ashwin Kumar, formerly of Citibank Inc. and Bank of America Corp., became head of product development last month.
Deutsche Boerse was already said to have announced internally its plans to shrink ranks through a voluntary leaving program. The company has had such programs in the past as well. In July, it announced “delayering and complexity reduction,” which are typically code words for layoffs.