The bank has lost $38 billion in write-downs since the subprime mortgage market began to collapse last summer, The New York Times (NYSE:NYT) reported Tuesday. In the first quarter of 2008, the bank was forced to write down $19 billion.

UBS Chief Executive Officer Marcel Rohner said the turnaround at the bank has already begun.

"We can see tangible effects as a result of our initial responses to the losses," Rohner said in a statement.

The bank said the job reductions would include 2,600 jobs in the investment banking unit, the Times reported.