RBC ITS: Announcement of a 3rd social plan while the last one hasn’t even come to an end!

The ALEBA, LCGB and OGBL trade unions have just learned that RBC Investor & Treasury Services will be terminating 243 jobs. The unions consider indecent this decision to start negotiations for a new redundancy plan in relation to the staff, who, exposed to the current crisis, are facing new pressure and new concerns, while the last redundancy plan signed in 2019 has not even come to an end.

With the announcement of this 3rd social plan since the full takeover of RBC ITS by the Royal Bank of Canada in 2012, RBC holds the macabre title of leader of successive social plans. Indeed, a 1st social plan signed in 2013 concerned 210 jobs and a 2nd social plan signed in 2019 concerning 201 jobs is still in progress. An extension has just been signed just 6 weeks ago until 30 April 2021.

While the ink on the agreement relating to  the extension of the social plan, which should prepare the future of the company which currently employs 1,100 people, is not even dry yet, the trade union organizations are worried about maintaining jobs and the future of RBC in Luxembourg. Indeed, the reasons for this new restructuring seem to be like those of 2013 and 2019 and are not linked to Covid-19, but simply to a reduction in costs in order to improve the company’s net results.

The trade unions are outraged by this frantic race for profit, to the detriment and without losing sight of the employees of RBC.

As a reminder, at the end of November 2020, the bank had decided on new cost-cutting measures in Europe including job losses mainly in Luxembourg. According to a RBC spokesman, as far as possible, job losses should be managed by natural staff cuts, redeployment and retirements. Moreover, according to the email from the managing director of the London-based RBC unit, Francis Jackson, sent to staff in November 2020, no job losses would occur before 2021.

The ALEBA, LCGB and OGBL trade unions are committed to taking all necessary steps to ensure that jobs are maintained and to defend the interests of RBC employees in future negotiations.