Germany’s biggest lender Deutsche Bank is undertaking a major restructuring by planning to cut   8,000 jobs by 2022. The bank stated that the layoffs would reduce annual costs by EUR6 Bn (S$9.16 Bn) over the same period.

Chief executive Christian Sewing stated, “Today we have announced the most fundamental transformation of Deutsche Bank in decades.”

However, where exactly this slashing of around one in five of its workforce to 74,000 employees will happen, has not been disclosed. Though it is being speculated that many jobs are likely to be cut in home country Germany. In particular, Sewing has been making tough cuts to the investment banking unit as the unit’s business had fallen back by 20 percent in the first quarter of 2018 alone.

The restructuring efforts come as its much-hyped merger talks with rival Commerzbank fell through earlier this year. This new round of job cuts comes on top of some 6,000 cuts already carried out over the past year. The bank is pinning on the restructuring plan to sap second-quarter results by some EUR3 Bn this year, leading to a net loss of EUR2.8 Bn.

Deutsche Bank’s struggles mirror the wider struggling German banking sector that was once widely envied. As per a media report, last year, more than 32,000 jobs were slashed in the industry. These cuts have come on account of low-interest rates in the eurozone, sluggish economic growth, and competition from new online platforms. Most recently, in the month of May, HSBC Holdings Plc announced is looking to axe hundreds of investment banking jobs as the lender aims to cut overall costs for business.