Banking: 80,000 Tech jobs slated to be Offshored by major US and European Banks

March 30, 2016 5:57 pm | Updated 5 years ago.

Most of the code and maintenance function of the IT infrastructure of major banks in the US and Europe emanate from India or Eastern Europe where the major Banks are off-shoring technology services and resources.

Industry sources indicate that Deutsche Bank is in process of shifting 8000 jobs to low cost centers and UBS has already shifted a significant number of IT jobs to India and Eastern Europe.

India remains the country of choice for Banks offshoring IT services, followed by Eastern Europe and near shore low cost destinations.

Industry sources reveal that 11 large banks in Europe and US will account for 82000 technology jobs being outsourced from its main business hubs to low cost destinations.

Here is a quick rundown on the off-shoring trends of major banks

Bank of America: Offshored a bulk of operations through its wholly owned subsidiary BA Continumm in India and Phillipines and has thousands of personnel employed

Barclays: Latest offspring to Kiev, Ukraine. Also runs wholly owned subsidiary Barclays Technology Center in India with  4000 people and in Lithuania which employs 300 people.

Citigroup: Citi Technology Services Ltd (India) employs 900 people and has retained Indian company Wipro as a offshoring provider. Citi also has offshoring operations in Phillipines and Shanghai.

Credit Suisse: 20% of its workforce is employed in off-shore centres. It has  four offices across India, with the  largest  in Pune, where headcount is 2,300. In Mumbai a staff of 700 people work on global arbitrage trading IT and risk analytics. It also has offshoring operations in Wroclaw, Poland and Singapore with thousands of workforce.

Deutsche Bank: Deutsche Bank’s global technology development centre is located in Russia, employing 6,000 people . Its Indian operations employs  7,000 people  across Bangalore, Jaipur and Mumbai.

Goldman Sachs: Its major hub is in Bangalore which employs 6500 people.

HSBC: The Global Software Delivery division is based out of  Pune and Hyderabad in India, Guangzhou in China, Curitiba in Brazil, Kuala Lumpur in Malaysia, Krakow in Poland and Burbaby Vancouver in Canada. Together they employ over 10,000 people.

J.P. Morgan: It has 30,000 people in IT worldwide. In India, the bank has three offices in Mumbai, Bangalore and Hyderabad, which together employ over 10,000 people. It also employs 2,000 people related to investment banking technology in Hong Kong and Singapore.

Morgan Stanley: It main technology hub is located in Budapest, Hungary, which employs around 800 people. It research and analytics hub is in Mumbai which employs over 1600 employees.

Royal Bank of Scotland: A large complement of IT staff is located in India. Its major backoffice stronghold is in Warsaw Poland, which employs over 800 people.

UBS: Operates through IT service provider Luxoft with offices in Poland, Ukraine and Russia with over 4500 people employed at these locations.

Date of Publication: 21/03/2016