Dutch financial services group ING is to cut 1,600 jobs from its US insurance to save between $250m (£175.4m) and $300m (£210.5m) a year.
Dutch financial services group ING is to cut 1,600 jobs, or 15% of its workforce, from its US insurance arm in a move designed to save between $250m (£175.4m) and $300m (£210.5m) a year.
ING said that the planned cuts were part of efforts to create a more "customer-focused" operation in the US.
The company admitted last month that the integration of Aetna Financial Services and ReliaStar, the US insurance companies it bought last year, was behind schedule.
Integration efforts have been hit by lower than expected sales in the wake of falling equity markets, notably in variable annuities.
ING, which sold its US investment banking arm to ABN Amro earlier this year, said the restructuring would trim 15% from the cost base of its US insurance unit and add between $150m (£105.2m) and $180m (£126.3m) to pre-tax earnings from next year.
The insurance business employs 10,700 staff in the US. ING said the geographic impact of the cuts had yet to be determined, though severance payments would amount to between $75m (£52.6m) and $100m (£70.2m).
