Close to 70 employees of UBS (Bahamas) will join the unemployment line as a result of the company shutting down one of its departments, the Bahama Journal confirmed on Thursday.
A source has confirmed that UBS is getting rid of its private banking department.
The Journal also understands that the employees being laid off make between $50,000 and $80,000 a year.
While the layoffs are not effective immediately, the Journal understands that the layoffs will take place over the course of the next several months.
The plan is now to strengthen the trust department in the company, according to the source.
Late yesterday the company’s Senior Media Relations Officer, Gregg Rosenberg who works in the bank’s New York offices, emailed the Journal explaining that UBS group has decided to downsize its presence in The Bahamas after a detailed assessment of its international locations.
“Based consideration of economic viability, UBS group has decided to decommission The Bahamas subsidiary, UBS (Bahamas) Limited,” he said.
“The decision does not affect The Bahamas-based entity UBS Trustees (Bahamas) Limited. The wind-down process is expected to be completed by the end of 2014 and will take place in close collaboration with the Ministry of Financial Services of The Bahamas.”
The e-mail also confirmed that clients will be offered the option to transfer their assets to other booking centres within the UBS group or to another preferred service provider.
“A plan is in place for affected employees, and a considerable number staff will be offered employment in other roles and locations across UBS group,” Mr. Rosenberg added.
In January, UBS Executive Director Emmaneul Fiaux was detained during an immigration road block.
At the time, drivers were being stopped and questioned about their status.
They were also asked to produce evidence.
Mr. Fiaux was not able to and was taken to the Carmichael Road Detention Centre.
In November 2012, 10 UBS (Bahamas) employees were laid-off as a result of the Swiss bank then announcing plans to realign the business model.
