From www.radio.com.pl

The imminent merger of Italy’s Unicredito and Germany’s HypoVereinsbank HVB may result in massive layoffs on the Polish banking sector. Unicredito Owns Pekao SA, Poland’s second largest bank, and HVB owns BPH PBK, the country’s third largest. According to analysts, this can precipitate a fresh wave of bank mergers on the Polish scene.

Marcin Belkin financial analyst for PEKAO SA has survived bank mergers in the past and isn’t looking forward to this one. Unicredito has a 52% stake in Pekao SA the second largest bank in Poland. HBV has a 71% stake in BPH the third largest bank in the country. Analysts predict that the merge would create more than a 20% market share making it the largest bank in the country.
Mariusz Zygierewicz from the Polish banking association says that the new bank may make bank services more user friendly. But there are those who wonder whether, with less competition, how attractive bank deposits will become. They even wonder if a banking monopoly is being created in the shadow of this proposed merger.

Polish banking trade unions are up in arms saying that the banking sector could loose several thousand people in one single swoop on account of the fusion. But this proposed merge is yet another sign as to what Poland can expect in the future according to people in the know. Merger talks between Unicredito and HVB could be finalized this week. The fusion is designed to cut costs and streamline operations. These measurers will be rather unpleasant in both banks as many jobs may disappear.