Zurich Insurance Group will eliminate approximately 800 positions across its global operations, as parts of its strategy to save about $250m every year by the end of 2015 to decrease operational costs and return to profitability.
The Swiss insurer said that the proposed job cuts will enable it to streamline its organizational structure while curtailing both complexity and costs as it continues to deliver on the group’s strategic priorities for 2014-2016.
The insurer will revamp its business by investing in priority markets, at the same time divesting underperforming units.
This initiative follows a comprehensive review, and it will remove management layers between group and the business units.
Zurich Insurance believes that its strategy will position the company for profitable growth, placing customers and their needs at the center of its business.
Zurich Insurance CEO Martin Senn said, "We continue to make significant progress towards our strategic goal to make Zurich a focused and more profitable business.
"This latest initiative empowers our people to act decisively in delivering first-class services to our customers while also minimizing overheads," Senn added.
"It will be implemented through a measured process, with employees supported at every stage of the transition."
The proposed job cuts are subject to the appropriate consultation with employees and their representatives, according to the insurer.
In November 2013, Zurich Insurance said that it will scrap all of its 700 life insurance agents in Hong Kong by the end of the year, as its focuses to sell insurance products from agents to brokers and advisers.
Image: Zurich Corporate Center, Mythenquai 2, Zurich. Photo courtesy of Zurich Insurance Company Ltd.