UBS jobs at risk if strict capital rules force relocation

The Swiss Bank Employees Association (SBPV) has warned lawmakers that up to 12,000 UBS jobs in Switzerland could be at risk if the bank is forced to relocate, undergo a sale, or merge due to stricter capital requirements.

The warning comes as the Swiss parliament prepares to discuss how much capital UBS must hold to back its foreign subsidiaries. While the Upper House has proposed that these units be backed by 90 per cent Common Equity Tier 1 capital, UBS has argued such requirements are too high. Chairman Colm Kelleher has previously indicated that the bank would need to carefully consider its future in Switzerland if regulations become too harsh.

This potential job loss would be in addition to existing cuts resulting from the 2023 acquisition of Credit Suisse. UBS has stated it expects approximately 3,000 layoffs in Switzerland related to the integration, which it aims to manage through natural turnover and early retirements.