UK-based Fidelity International is cutting over 500 jobs at its headquarters, ETHRWorldEMEA

Fidelity, headquartered in Great Britain, wants to cut over 500 jobs

Fidelity International (FIL) will cut approximately 500 jobs at one of its technology and operations centers in Dalian, China, marking a significant decline for a global financial company in the Chinese market.

The company informed employees of the workforce reductions on Monday, according to people familiar with the matter. Fidelity International's Dalian Center, known as the Center of Excellence, supports various technology, operational and investment needs. The facility, founded in 2011, employed 574 people at the end of 2023.

“Following a review and in line with an organization-wide focus on greater efficiency, we are streamlining some functions currently managed at the Dalian center,” FIL said in a statement. The company did not comment on the number of job cuts.

In addition to the layoffs, FIL is also building new capacity in Dalian. However, the company did not say how many new jobs would be created as a result. Previously, in March, FIL set a target of cutting around 9% of its global workforce, or around 1,000 jobs, as part of a broader workforce reduction measure. In China, those cuts were more severe, affecting at least 16% of the company's 120-employee investment funds unit, according to sources.

Despite the downsizing, Fidelity International remains committed to expanding its mutual fund business in China. FIL's actions in Dalian represent the largest job cuts by a global financial firm in China in recent years and affect a significant portion of its local workforce. The company's move is in line with its broader strategy to increase efficiency across its global operations.

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