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Germany's Scholz: Drastic reforms under discussion at Commerzbank

BERLIN, Feb 2 (Reuters) - German Finance Minister Olaf Scholz said on Tuesday drastic reforms were being discussed at Commerzbank after its new CEO told staff in a memo there was no way of avoiding significant job cuts at Germany’s No. 2 lender.

Stefan Wittmann, who sits on Commerzbank’s supervisory board as a labour representative, said on Friday that plans to cut 10,000 jobs were “simply crazy”.

“At Commerzbank, I have observed it in such a way that a solution for the future is being sought together with ... the works council and the unions represented in the company,” Scholz told reporters in Berlin.

“And I think that is also the right way so that everyone knows that something has to be done, even something very drastic - but of course it has to be done within the framework of social partnership and that is how it seems to be taking place now,” he added.

The German government holds a stake of more than 15 percent in Commerzbank following a bailout in the wake of the finincial crisis. The planned job cuts could complicate the election campaign of Scholz and his Social Democrats later this year. (Reporting by Michael Nienaber Editing by Madeline Chambers)

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