UBS to cut work force by 11 percent by 2016

By The Associated Press | November 17, 2011 | 1:10 PM EST

Swiss lender UBS AG says it will cut its work force by 11 percent between now and 2016 as it downsizes.

CEO Sergio Ermotti said Thursday that the cuts are part of an effort to substantially reduce the investment bank's risk profile by exiting or shrinking certain operations.

The company says it will cut its staff to 16,500 from the current 18,000 by the end of 2013. It expects to cut another 500 jobs by the end of 2016.

Ermotti has announced several reforms to the investment bank's operations since taking over as CEO from Oswald Gruebel, who resigned over a $2 billion rogue trading loss.

UBS shares fell 14 cents at $11.37 in afternoon trading.