A gentle approach to job cuts doesn't always mean a happy workforce. This is the story of Société Générale, a French bank, and its recent announcement of a significant reduction in staff.
SocGen, as it's commonly known, is planning to cut 1,800 jobs by the end of 2027. This news comes as a surprise, especially considering the bank's upcoming fourth-quarter results and bonus payments. The Financial Times reported that these cuts are in addition to another plan by SocGen to reduce its workforce at a joint venture with Alliance Bernstein, aiming to cut a third of the employees there.
But here's where it gets controversial: SocGen plans to execute these cuts through natural attrition. In other words, they're banking on employees leaving voluntarily. With a total headcount of 40,000, this strategy suggests a 4.5% reduction over time.
However, the French staff at SocGen aren't exactly thrilled about this approach. Representatives from the CGT Union have expressed their discontent, claiming they've been seeking meetings with management to discuss the reorganization since 2025. They feel blindsided by a plan that's already been conceived, which includes increased digitalization, a flatter management structure, more internal mobility, and the formation of multidisciplinary teams.
And this is the part most people miss: the cuts come after SocGen's decision to bring employees back to the office four days a week in June. Many are still unhappy about this change, with one London-based employee stating, "A significant percentage of employees applied for formal flexible working, but even those with medical recommendations are being rejected."
So, will these disgruntled employees leave voluntarily, adding to the 1,800 cuts? Only time will tell. SocGen has not responded to requests for comment.
What are your thoughts on this strategy? Do you think it's a fair approach, or does it raise concerns about employee well-being and satisfaction? We'd love to hear your opinions in the comments below!
