As an example, it's old but true, Royal Bank of Canada and Bank of Montreal led four Canadian lenders in trimming 1,362 jobs in the fiscal fourth quarter, the industry’s first employment drop in two years.
Royal Bank, Canada’s largest lender, had 585 fewer full-time employees at the end of the period, a 0.85% reduction from the previous quarter. Bank of Montreal, the fourth-largest, had 435 fewer workers, a 0.9% drop, according to company reports. Canadian Imperial Bank of Commerce’s staffing fell 0.4% with 186 fewer jobs for the period ended Oct. 31. Most cuts were in Canada.
This marks the first time since the fourth quarter of 2009 that net jobs declined at Canada’s eight-biggest banks. Canadian lenders are lowering costs ahead of an expected slowdown in 2012, after posting record combined profits of $23.6-billion ($23.1-billion) this fiscal year.
Would you believe those poor banks only made....
a stunning $7.8 billion of cumulative profit in the third quarter, as consumers maintained their borrowing habits and domestic banking results propped up weakness in some other divisions.
The performance left analysts’ restrained predictions in the dust, marking an increase of 45 per cent from net income of $5.38 billion a year ago.
All five banks delivered a surprise boost to their dividends paid to shareholders. Royal Bank also boasted that its profits rose 73 per cent to a new record high.
It was quite a contrast from concerns that lending would subside during the period, while banks looked for ways to cut their costs. But several analysts say they’re not convinced these bombastic results are sustainable into next year.
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“Earnings from Canada face a lot of headwinds,” said National Bank analyst Peter Routledge in an interview.
----So when jobs are cut, it' may not be because buisness is bad, but it may be because shareholders don't care about staff, they care about the money in thier pocket!!-----