Credit Suisse cuts 30% of jobs from European investment division

Swiss bank Credit Suisse cuts 30 percent of jobs from its European investment banking division.

The cuts are part of the bank's restructuring plans which were spurred by Switzerland’s central bank's recommendation that Credit Suisse would increase its capital in order to prepare for a potential aggravation of the European debt crisis. 

Despite the fact that Spain's €100bn loan is to be used to recapitalize ailing banks such as Bankia, analysts fear contagion in Europe after 28 Spanish banks were downgraded by rating agency Moody's.

Other banks have also announced plans to cut jobs. Specifically, competitor UBS plans to cut half of the expected 3,500 layoffs from its investment banking division.  

The announcement about the cuts comes as no surprise since other major banks in Europe, like HSBC and RBS, have already announced upcoming massive lay-offs.