EMCC European Monitoring Centre on Change



Geographic Location

Country: European Union
Location of affected unit(s): Denmark, Finland, Sweden, Norway


Sector: Financial services
Financial and insurance activities
64.1 - Monetary intermediation
Number Employed: 34000

Employment Effects

Announcement Date: 29-08-2011
Planned Job Reductions min: 2000
Planned Job Reductions max: 2000
Type of Restructuring: Internal restructuring
Employment Effect Start: 01-09-2011
Foreseen End Date: 31-12-2012

Additional Information

Sweden-based bank Nordea will reduce its workforce by 2,000 employees. The company estimates that 500 to 650 jobs will be lost in Denmark, Finland and Sweden respectively. Between 200 and 300 jobs will be cut in Norway. The internal restructuring is expected to be completed by the end of 2012.

Nordea have initiated talks with local trade unions within each country on how to reduce the headcount. These consultation processes should be finalised by November 2011. A large share of the 2,000 job cuts could be implemented through voluntary departures and natural turnover.

The restructuring measure will allow Nordea to increase efficiency within the bank. The company has set a target of 15 % return on equity. Currently, Nordea reaches 11.7 % (first half of 2011).