Spanish lender CaixaBank has reached an agreement with the unions to lay off a total of 6,452 employees.
According to a Reuters report, the redundancy is the biggest staff overhaul in Spanish banking history.
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The job cuts will reduce Caixabank’s workforce in Spain by 14.5%. The bank has around 44,400 employees in the country.
In April, the lender announced plans to trim more than 8,000 jobs amid an increase in digital banking. However, following protests and disagreements, Caixabank proposed a new offer last month that involved making 6,950 employees redundant.
After discussions with the unions, the figure was further revised to 6,452.
Spanish union Comisiones Obreras (CCOO) told the news agency that the bank also agreed to several of its demands including focusing on voluntary redundancies rather than compulsory job cuts.
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By GlobalDataCaixabank has also improved financial compensation for the employees who will leave the bank, a spokesperson for the union told Reuters. The layoff is expected to cost around €1.9bn ($2.25bn).
In March this year, Caixabank acquired local rival Bankia. The deal made it the biggest domestic lender in terms of total assets.
The bank, which has 5,550 branches in Spain, also plans shut down around 1,500 locations.
In the first quarter of this year, CaixaBank recorded an underlying net profit of €514m ($620m). The figure was €90m in the same period a year ago.
