As expected, layoffs have just commenced at Goldman Sachs.
“Layoffs… so far affecting operations but expected to “impact other areas” and exceed the yearly axing of the bottom 5% of the group,” according to Dealbreaker.
We’re told by a source that the equities division is expecting cuts imminently.
“No layoffs” have been made in the division yet, but employees hear “they will chop very soon.”
While Goldman traditionally makes annual cuts to its securities division based on underperformance, this round of layoffs is reported to be broader.
Layoffs were predicted to hit all the bulge bracket banks this summer, as trading profits remain sluggish.
Goldman Sachs in particular is looking to cut costs. The firm has said it wants to cut $1 billion in non-compensation expenses in the coming year.
Credit Suisse started a round of layoffs yesterday; Barcap has already commenced cuts; Morgan Stanley is set to cut hundreds from its brokerage division and already slashed some jobs earlier this week; UBS will reduce headcount by at least 500 here and in Switzerland.
Earlier this week reports surfaced that Goldman planned to cut hundreds of jobs in the U.S, while adding staff in Singapore and Brazil.
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