German bank Commerzbank (OTCMKTS:CRZBY) will cut more than 5,000 jobs, or 10 percent of its workforce, in an initial deal with labor groups to cut costs, a source told Reuters on Tuesday.

 

In January, the bank announced it would cut 4,000 to 6,000 jobs by 2016 as part of a four-year restructuring, according to the Wall Street Journal, but said the details were subject to negotiations with labor representatives.

A logo of Germany's Commerzbank is seen in bright sunshine next to the headquarters of the bank in Frankfurt
A logo of Germany's Commerzbank is seen in bright sunshine next to the headquarters of the bank in Frankfurt. Photo: REUTERS

Commerzbank declined to comment to Reuters, while labor representatives disputed the 5,000-job figure.

German newspaper Daily Handelsblatt reported that none of Commerzbank’s 1,200 branches would close as a result of the cuts. In 2012, the bank employed 56,000 people, according to its website

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