Branches saved

Raika partially backtracks on wave of closures in the countryside

The iconic gabled cross logo is becoming increasingly rare in rural areas.(Bild: Huber Patrick)

A look at Raiffeisen's annual reports reveals the clear-cutting of branches in Lower Austria. The Group is now (partially) backtracking on the latest wave of closures in the districts of St. Pölten and Lilienfeld.

For Friedrich Wilhelm Raiffeisen, solidarity and regionality were the guiding principles for economic activity. However, the banking group he founded under the Gable Cross logo has recently come under fire because seven branches are to be closed in the districts of St. Pölten and Lilienfeld.

Closure postponed, self-service locations
The Group has now gone public with further details: the Hohenberg and Kleinzell locations are to close as planned on June 30, while the St. Aegyd, Türnitz and Traisen branches will only close once the "competence center" in Lilienfeld has been completed. St. Veit and St. Georgen will be converted into self-service branches by 2026, according to the statement.

Jobs are to be retained
The cornerstone of this "realignment", as the savings course is called in the banking group's PR speak, is that "every customer will retain their usual advisor". In return, this also means that all employees are to be retained. However, the affected account holders will have to find out for themselves where they can be found in the future.

In general, branch closures are nothing new for the banking group: while the 2014 annual report still listed 65 main branches and 520 branches for Lower Austria, ten years later there are only 355 locations.