German lender Deutsche Bank is set to increase the number of relationship and investment managers at its wealth management unit by 300 by 2021, even as the bank contemplates a plan to cut as many as 20,000 jobs, Reuters reports.
Deutsche Bank is in the middle of a major restructuring as it tries to shrink its investment bank that has struggled to generate sustainable profits since the 2008 financial crisis. The shake up is expected to lead to thousands of job cuts in areas like equities trading.
Chief executive Christian Sewing wants instead to allocate more resources to businesses that have more stable revenue streams, with wealth management one of them.
Deutsche Bank Wealth Management global head Fabrizio Campelli was quoted as saying: "This drive to grow our business is now materialising with a big investment push."
The hiring will be done in America, Europe and emerging markets.
"We looked at trends we believe Deutsche Bank wealth management can be particularly relevant in and within those areas we are making some very targeted investments," Campelli noted.
Deutsche Bank had 91,500 staff at the end of the first quarter, down from 95,400 when Sewing took over.
The bank expects to make a formal announcement no later than July 8. The Wall Street Journal first reported on the plan to cut as many as 20,000 jobs.
The sweeping restructuring is likely to hit Deutsche Bank's investment banking division the hardest, particularly its US operations as well as trading equities and interest rate derivatives. The bank is planning to cut its global equities headcount by 50%.
"Deutsche Bank is working on measures to accelerate its transformation so as to improve its sustainable profitability," a spokesperson said. "We will update all stakeholders if and when required."