The banking system has taken cutting costs very seriously in the face of the pandemic crisis.
After yesterday, Santander acknowledged that in the coming days it will present a plan to leave with early retirement and incentivized leave for the workforce, which will affect some 3,000 employees in Spain, although it will also have an impact in the United Kingdom, Poland and Portugal, now it is the turn to Banco Sabadell.
The entity chaired by Josep Oliu will convene the unions next week to announce a plan of exits that will affect some 2,000 employees, 15% of the workforce.
The reason, in addition, for the Covid crisis, is the adaptation to digitization and cost adjustment.
Exits will be non-traumatic and negotiated with the unions.
Early retirement and voluntary and incentivized dismissals will be the formulas that will be put on the table to negotiate.
More information
Santander announces an ERE in Spain, United Kingdom, Poland and Portugal and closure of offices
Sabadell is testing "consolidation options" and Kutxabank says that it does not negotiate mergers
Another 900 employees will also leave its British subsidiary TSB.
Bank sources indicate that no negotiations have started and declined to comment.
So far this year, Sabadell has closed around 250 offices, a number that could be expanded in the coming months.
This is the first time that Sabadell uses this template adjustment formula.
Only after the purchase of CAM and one leg of the Caixa Penedés business, did it make adjustments, but motivated by these integrations.
Potential for a merger
On the other hand, Goldman Sachs has identified Sabadell as the Spanish bank with the most upward potential in a corporate operation, as concluded in a recent report that examines all possible combinations between 29 banks in the euro zone.
The Goldman Sachs report has incorporated the mergers and acquisitions component in the target prices of each entity, combining its methodology with the framework of the firm's M&A department.
From this analysis, the banks with the most significant changes in their target price were Sabadell (+ 34%), CaixaBank (+ 29%), Société Générale (+ 17%) and Banco BPM (+ 9%).
In the case of Sabadell, Goldman Sachs has awarded Sabadell the first position in the ranking of mergers and acquisitions among Spanish banks.
Likewise, it has assigned an M&A value (due to the potential synergies in a merger) of 0.70 euros, which weights 30% in its target price.
In this way, the target price for Sabadell would go from 0.32 euros to 0.43 euros, representing an increase of 34%, the highest of all European banks.