Monte dei Paschi seals deal with unions over exit of 3,500 staff

Monte dei Paschi seals deal with unions over exit of 3,500 staff

MILAN, Aug 4 (Reuters) - Italian state-owned bank Monte dei Paschi di Siena  reached an accord with unions over thousands of job cuts which are part of commitments Rome agreed this week with the European Commission, the sector's biggest union FABI said. The deal will see 3,500 Monte dei Paschi employees relatively close to the pension age leave by Nov. 30 through a generous early retirement scheme, used by lenders in Italy and financed by the individual banks. Staff who take the package will receive 80% of their net pay for up to seven years. The percentage rises to 85% if they…
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Monte dei Paschi working to cut legal risks as EU weighs bank’s viability

Monte dei Paschi working to cut legal risks as EU weighs bank’s viability

Italy's Monte dei Paschi (MPS) said it was working to reduce its legal risks while the European Union assessed the state-owned bank's ability to stay in business before unlocking more public aid. Italy rescued MPS in 2017 at a cost of 5.4 billion euros ($6.6 billion) to taxpayers. It now stands ready to cover at least in part a 2.5 billion euro capital shortfall at the lender, but first wants to find a buyer for it. MPS has said it will proceed with a cash call should a merger with a stronger rival fail to materialise. It warned significant uncertainties…
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