Deutsche Bank sends staff home as Covid surges in US

Employees had option to work remotely until mid-2021, but some had returned

New York /
Nov.November 13, 2020 10:00 AM
Deutsche Bank CEO of Americas Christiana Riley and 60 Wall Street (Wikipedia Commons; Getty)

Deutsche Bank CEO of Americas Christiana Riley and 60 Wall Street (Wikipedia Commons; Getty)

Deutsche Bank sent its Americas investment bankers home as the pandemic intensified across the U.S.

“We have been concerned that a second wave may come, and it is not surprising that this should impact Deutsche Bank,” said Matthias Krause, its chief of staff for the Americas, in a memo to staff, Bloomberg reported. “We have decided that front office staff in the investment bank in the Americas will work from home until further notice,” he said.

The bank had said that workers previously had the option to work from home until the middle of next year, but some had been returning gradually.

The decision comes days after the bank proposed a work-from-home tax. In a research report entitled “What we must do to rebuild,” Deutsche Bank suggested that employees who work from home should be taxed extra because they benefit from reduced transportation, food and clothing costs.

The bank estimated that at a rate of 5 percent for a $55,000 salary, the tax could raise $48 billion.

Some tech companies have also considered pay cuts for workers who choose to live in more affordable areas while they work remotely.

Even with the potential for reduced compensation, few workers want to return to the office — especially in New York, where only 13 percent were at their desks last week, data from 10 major metro areas showed. Dallas led with 41 percent in the office; the 10 cities’ average was 25 percent.

The Partnership for New York City, which represents the city’s largest businesses, conducted a survey in October which found only 15 percent of Manhattan office workers expect to return this year.

When the pandemic hit, Deutsche Bank was in the process of moving its New York City headquarters to the Time Warner Center from 60 Wall Street.

[Bloomberg] — Georgia Kromrei


Related Articles

arrow_forward_ios
The Savoy Hotel in London, UK in 1980 (Getty)
UK hospitality employers could cut half a million jobs
UK hospitality employers could cut half a million jobs
The commercial market was hit hard by the pandemic, and property tax revenue is expected to fall 5 percent. (iStock)
Tax bills show how much Covid devalued NYC real estate
Tax bills show how much Covid devalued NYC real estate
Employers project 62 percent of workers will come back to Manhattan offices in September (iStock)
Over 60% of Manhattan office workers will return in September: survey
Over 60% of Manhattan office workers will return in September: survey
(iStock)
NY’s rent relief program launches, with glitches
NY’s rent relief program launches, with glitches
The colorful Prizm Outlet in Nevada. (Prizm Outlet via Facebook)
Mall short-sellers see a big payout from Nevada mall auction
Mall short-sellers see a big payout from Nevada mall auction
Deutsche Bank CEO Christian Sewing (Getty Images)
Time Warner Center is now the Deutsche Bank Center
Time Warner Center is now the Deutsche Bank Center
What is the future of Times Square?
What is the future of Times Square?
What is the future of Times Square?
Sen. Brian Kavanagh (Getty, New York Senate)
Lawmakers propose tweaks to rent relief program, foreclosure protections
Lawmakers propose tweaks to rent relief program, foreclosure protections
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...