By Tom Sims and Christian Kraemer
FRANKFURT (Reuters) -Commerzbank staff and a distinguished labour union on Friday referred to as on the German authorities to oppose a takeover of the German lender by Italy’s UniCredit as staff worry huge job losses if a deal goes by.
The joint assertion from the Commerzbank (ETR:) works council and the Verdi union marks the starkest opposition but by staff of a doable tie-up between the banks.
The 2 teams stated they have been calling on the federal government “to work together with employees for a strong, independent Commerzbank”.
The attraction comes days after the Italian financial institution introduced it had purchased a 9% stake in Commerzbank – from the German authorities in addition to on the open market – and its chief govt stated he wished to discover a merger.
The German authorities, which nonetheless owns a 12% stake in Commerzbank, will play a key position in whether or not any deal can happen.
“We call on the German government not to make any hasty decisions regarding the sale of its shares,” stated Uwe Tschaege, the chairman of Commerzbank’s works council.
The German authorities is “thoroughly analysing” the matter, a authorities spokesperson stated in response to the worker and union calls for.
UniCredit wasn’t instantly out there for remark and Commerzbank did not instantly reply.
Commerzbank, with greater than 25,000 enterprise prospects, virtually a 3rd of German international commerce funds and greater than 42,000 employees, is a linchpin of the German financial system.
The Italian takeover curiosity has already prompted a backlash and is a humiliation for the German authorities.
UniCredit’s swoop is probably the most bold try but at a pan-European financial institution merger, but it surely faces appreciable political hurdles in Germany.
German Finance Minister Christian Lindner, whose ministry manages the Commerzbank holding, stated on Thursday the federal government doesn’t wish to keep completely invested in a financial institution.
However the authorities doesn’t at the moment plan additional gross sales, sources have informed Reuters, and Commerzbank has additionally requested the federal government to retain its stake for now.
