Scotiabank cutting 3% of staff amid efforts to streamline banking operations

globalnews.ca:

Scotiabank says it’s cutting about three per cent of its global workforce as a result of changes at the bank and customers’ day-to-day banking preferences, as well as ongoing efforts to streamline operations.It will also take several charges that total $590 million after-tax, or about 49 cents per share, for its fourth quarter related to the cuts and other changes it is making.The charges include $247 million after-tax for restructuring and severance provisions and $63 million after-tax related to the consolidation and exit of certain real estate premises and service contracts.They also include an impairment charge of $280 million after-tax related to its investment in Bank of Xi’an Co. Ltd.

as well as the impairment of certain intangible assets including software.Scotiabank noted that the market value of Bank of Xi’an has remained below the bank’s carrying value for a prolonged period.“We expect the savings on the above items to be achieved throughout fiscal 2024 and anticipate full run-rate benefits in fiscal 2025,” the bank said in a statement.Scotiabank said it will provide further details when it releases its fourth-quarter results on Nov. 28.The bank had 91,013 employees in its third quarter.