Lloyd’s Banking Group To Cut 5,000 Jobs Because Of Merger (LYG, HBC, RBC)

With the acquisition of HBOS, Lloyd’s Banking Group PLC (NYSE: LYG) has announced plans to cut 5,000 jobs as they try to consolidate operations and eliminate overlaps in their insurance and retail divisions. The move means that Lloyd’s Banking Group is on its way to its target cost savings of GBP 1.5 billion from the merger.

In the same announcement, the bank explains that the firing of 5,000 personnel has been mitigated by the release of contractors, temporary staff and offshore personnel.

Lloyd’s is not the only company to announce the cutting of jobs as banks, HSBC Holdings PLC (NYSE: HBC) announced their intent to cut 1,700 jobs and the Royal Bank of Scotland (NYSE: RBC) reported plans of cutting 3,700 jobs.

According to data from Office for National Statistics, there has been 33,400 finance related jobs that were cut the previous year.