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In the wake of UBS’s merger with Credit Suisse, some interesting discrepancies in employee benefits have come to light, particularly for staff in the UK. Those who transitioned from Credit Suisse to UBS continue to enjoy paid sabbaticals, setting them apart from their UBS counterparts nearly two years after the two banks combined forces.
Insiders have revealed that former Credit Suisse employees in the UK can still take advantage of a unique benefit their previous employer offered: up to three months of paid sabbatical. This perk was something UBS didn’t traditionally provide.
Here’s how the sabbatical system works: employees who were initially with Credit Suisse can opt for this extra leave every five years. During this time, they receive full pay for the first month, 80% for the second month, and 60% for the final month, according to those in the know.
Although the legal merger between UBS and Credit Suisse wrapped up last year, many UK-based former Credit Suisse workers are still under their original employment contracts. This means they continue to access benefits that Credit Suisse had in place, as per the information from insiders.
The continuation of these Credit Suisse-era sabbaticals highlights some discrepancies in how the combined group is handling staff perks during this ongoing three-year merging process.
Sabbatical leave became a tool for banks to combat employee burnout and encourage retention, especially during the pandemic when there was a strong push to enhance work-life balance.
However, the trend among major investment banks is shifting. Institutions like JPMorgan Chase and Barclays have recently started scaling back on perks, pushing for more consistent in-office presence.
Amidst this, UBS finds itself in the throes of significant job cuts, having already slashed 10,000 positions since the 2023 acquisition.
By the close of last year, UBS boasted nearly 109,000 employees, but the leadership is setting sights on trimming this number to around 85,000 by the end of the integration process in 2026. Prior reports from the Financial Times indicated that this downsizing will happen through a mix of layoffs and natural employee turnover.
UBS’s leadership initially apprehended potential integration challenges with Credit Suisse’s staff, given the latter’s historically riskier client base.
Post-acquisition, UBS chair Colm Kelleher voiced concerns about potential “cultural contamination,” stressing that there would be “an incredibly high bar for who we bring into UBS.”
In response to enquiries, UBS stated, “While the benefit packages for UBS and ex-Credit Suisse employees differ in certain areas, both remain appealing and competitive with market standards.”
UBS also clarified, “With the transition to UBS contracts, UBS employee benefits generally apply. All employees are briefed on their benefits and the path forward.”
