Verdi opposes possible merger of Commerzbank

The German trade union association Verdi vehemently opposes a possible cross-border merger of Commerzbank. This stance remains even if the potential buyer is not the Italian bank UniCredit. These takeover efforts have been met with astonishment by the German authorities, as UniCredit has begun to acquire significant stakes in the state-backed Commerzbank. The German government is feverishly working to thwart a potential takeover that could tie Germany's economic fate to heavily indebted Italy. Verdi representative Frederik Werning, who is also a member of Commerzbank's supervisory board, emphasized that the union's opposition is not tied to the national origin of the bidder: "It could just as well be a French or Spanish bank." In the past, mergers have often led to job cuts both in Germany and abroad, Werning continued. Moreover, he sees the current economic situation as necessitating increased investment in Germany, which could be jeopardized by a lengthy integration process between the two banks. Werning also highlighted the risks of deeper entanglements with Italy, particularly considering UniCredit's extensive holdings of Italian government bonds. Commerzbank also holds significant shares of these bonds, making both banks vulnerable to economic turmoil in the southern neighboring country.