EMCC European Monitoring Centre on Change

Sparebank 1 SMN

Sparebank 1 SMN

Geographic Location

Country: Norway
Region: Norge
Location of affected unit(s): Eide, Malm, Meråker, Øvre Årdal, Frosta, Overhalla


Sector: Financial services
Financial and insurance activities
64.19 - Other monetary intermediation
Number Employed: 1500

Employment Effects

Announcement Date: 14-04-2021
Planned Job Reductions min: 100
Type of Restructuring: Internal restructuring
Employment Effect Start: 01-01-2021
Foreseen End Date: 31-12-2021
Other Job Reduction Measures: 100

Additional Information

The Norwegian bank SpareBank 1 SMN will close six smaller offices and cut 100 jobs by the end of 2021. The job cuts are part of an internal restructuring called One SMN where SpareBank 1 SMN will see employees work in larger offices where all business areas will be co-located with the objective to increase digitisation, create more efficient work processes, better services and reduce costs. The overall goal is to increase the results of the bank by NOK 400 million by 2023. The bank’s offices in Eide, Malm, Meråker, Øvre Årdal have already closed, while the bank’s offices in Frosta and Overhalla will close later in 2021. The downsizing will take place voluntarily and employees can apply for severance packages (seven to 19 monthly salaries paid out depending on age and seniority) negotiated by the union official representative.

The union representative said that the restructuring had been difficult for employees, especially during the COVID-19 pandemic. Nevertheless, the trade union supports the downsizing measures, which have been agreed with the bank. In addition to the severance packages mentioned above, the trade union has also negotiated a student grant for those employees who decide to leave the bank. ‘It provides good opportunities to learn something new for those who choose to leave the bank, and this measure is in addition to the severance package’ according to union representative Lindseth.

Sparebank 1 SMN is based in central Norway and is part of the SpareBank 1 Alliance. The head office is in Trondheim and the group, including its subsidiaries, has about 1,500 employees.