ABN ABN AMRO Bank N.V.

AMSTERDAM—ABN Amro Group NV could eliminate more than 1,000 jobs as the Dutch bank ramps up a restructuring plan designed to reduce costs.

ABN Amro said Monday in a letter to its works council that it is considering scrapping 975 to 1,375 jobs in the next couple of years, a move that would reduce annual costs by €195 million ($219 million) to €225 million. The bank, which is controlled by the Dutch government, employs around 22,000 people worldwide.

The bank had already hinted at job losses when it presented its second-quarter results in August. The new job cuts could affect the bank's finance, human-resources and communication departments. The plans will be finalized in the coming months.

The restructuring comes as European banks grapple with record-low interest rates, stricter regulations and a shift to digital banking services. Analysts have said the current environment could force lenders to further slash costs.

ABN Amro said current market conditions are pressuring its business model and profit margins, and that it needs to free up money to invest in growth areas such as digital services.

"We need to tackle the bank's bureaucracy, eliminate duplication of work, make sure that our managers 'walk the talk," said Chief Executive Gerrit Zalm.

Write to Maarten van Tartwijk at maarten.vantartwijk@wsj.com

(END) Dow Jones Newswires

September 12, 2016 07:47 ET (11:47 GMT)

Copyright (c) 2016 Dow Jones & Company, Inc.

Write to Maarten van Tartwijk at maarten.vantartwijk@wsj.com

(END) Dow Jones Newswires

September 12, 2016 11:35 ET (15:35 GMT)

Copyright (c) 2016 Dow Jones & Company, Inc.