According to informed sources, UBS Group AG (UBS.US) is preparing to initiate a new wave of layoffs by mid-January. The bank also plans further workforce reductions in late 2026 when it shuts down legacy computer systems acquired during its 2023 takeover of former rival Credit Suisse.

UBS is entering the final phase of its historic integration of Credit Suisse, which it acquired through a government-brokered emergency deal in 2023. The merger initially expanded its workforce to nearly 120,000 employees. Since then, headcount has been reduced by approximately 15,000—less than half of the previously reported internal target of 35,000.

While UBS has never officially confirmed its broader layoff plans, the bank previously stated it aims to cut around 3,000 jobs in Switzerland over the coming years. In 2023, it took the unusual step of detailing local redundancy plans.

A UBS spokesperson responded that many workforce reductions will occur gradually in the coming years, partly through early retirements and natural attrition. The bank also intends to reassign employees whose positions are eliminated.

Currently, the Zurich-based lender is midway through migrating Credit Suisse clients to its IT systems, with full integration targeted for completion by late 2026. Sources indicate the second round of layoffs will likely follow the IT transition in mid-2025, though some technical and operational specialists will be retained to ensure stability.

Over the past two years, UBS's layoffs have been global, with its investment banking division bearing the brunt. Wealth management staff have been relatively shielded as the bank prioritizes retaining key Credit Suisse private bankers and their client relationships.