EMCC European Monitoring Centre on Change

LCL

Company/Organisation:
LCL

Geographic Location

Country: France

Company

Sector: Financial services
Financial and insurance activities
64 - Financial service activities, except insurance and pension funding
Number Employed: 23169
Group: Credit Agricole SA

Employment Effects

Announcement Date: 01-06-2007
Planned Job Reductions min: 3569
Planned Job Reductions max: 3569
Type of Restructuring: Internal restructuring
Foreseen End Date: 01-06-2010
Planned Job Creation: 3000

Additional Information

On 1 June 2007, LCL, a French subsidiary bank of Credit Agricole SA, presented its competition plan for 2007-2010 to the company's works council. The company is planning to hire 3,000 new staff by 2010 for its retail network but it will also shed 3,569 administrative and support jobs, mostly through early retirement and voluntary redundancies. Increasing competition and the banking consolidation in Europe have pushed LCL to adopt this plan, which is aiming to strengthen the commercial networks efficiency, reduce the number of administrative jobs and rationalise the technology costs as well as the real estate assets in the Paris region. The early retirement programme will be open to all employees aged 57 or over. According to the company, the cost savings and productivity improvements of 'Crescendo', the previous restructuring plan, have not been sufficient as customers have new demands, both in terms of quality and fees. In June 2007 LCL employed 23,169 people in France.