Commerzbank: Germany must oppose UniCredit takeover, say employees

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FRANKFURT (Reuters) – Commerzbank employees and a leading union called on the German government on Friday to oppose the takeover of the bank by Italy’s UniCredit, as workers fear massive job losses if the deal goes ahead.

The joint statement by the Commerzbank works council and the Verdi trade union marks the clearest opposition by employees to a possible merger between the banks so far.

Both groups said they were calling on the government to “work with employees for a strong and independent Commerzbank.”

UniCredit recently acquired a 9% stake in Commerzbank through a divestment by the German state and expressed interest in a merger.

The German government, which still owns 12% of the banking group, will play a key role in making any deal happen.

“We call on the German government not to make a hasty decision regarding the sale of its shares,” said Uwe Tschaege, chairman of the Commerzbank works council.

The German government is “thoroughly analyzing” the issue, a government spokesman said in response to requests from employees and unions.

Commerzbank, which has more than 25,000 corporate clients and almost a third of German foreign trade payments, employs more than 42,000 people and is a pillar of the German economy.

Italy’s interest in the takeover has already sparked negative reactions, putting the German government in an embarrassing position.

The German government is not currently considering further sales, sources told Reuters, and Commerzbank has also asked the government to keep its stake for now.

(Reporting by Tom Sims and Christian Kraemer, with contributions by Valentina Za; French version by Noémie Naudin and Etienne Breban; editing by Augustin Turpin)

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