Banks to step up job cuts

BANKS are planning to accelerate job losses in 1994, according to the latest CBI/Coopers & Lybrand financial services business survey, despite enjoying the biggest profits recovery since the quarterly survey began in 1989, writes John Willcock.

The report confirms the message given by TSB on Thursday that, following a lull last autumn, banks are making another big push to reduce their staff numbers this year.

In contrast, employment in building societies rose for the first time since September 1991 despite expectations of a fall in the last CBI survey. Societies expect to take on more staff over the next three months.

Numbers employed in general insurance and finance houses remained flat, but the total in life insurance fell again, as it has done for the past 11 surveys. However, the staff numbers in life companies are expected to rise markedly over the next three months, for the first time since December 1990.

Numbers employed in securities trading are forecast to rise in the next three months by the largest amount since 1989.