American Express to axe 5,400 jobs globally
London: American Express has said that it will cut 5,400 jobs worldwide by the end of 2013.
The firm said the majority of the job losses would be in its travel business, which is being "fundamentally reinvented as a result of the digital revolution".
The credit card provider said it had to adapt parts of the business as more customers make payments online or via mobile, the BBC reports.
According to the report, the firm added that the job losses would be spread proportionally between the US and international markets.
The company said it took almost 600 million dollars in after-tax charges in the fourth quarter of 2012.
The company said that these charges would halve its net profit for the quarter from 1.2 billion dollars to 637 million dollars.
The charges include restructuring costs of 287 million dollars mostly related to redundancy payments, 212million dollars for Membership Rewards expenses and 95 million dollars for card member reimbursements, the report said.