There’s no silver lining. Layoffs in finance keep getting bigger, and will keep coming.
Fidelity Investments, the world’s largest mutual-fund manager, plans to cut about 1,290 jobs this month and fire additional employees in the first quarter of next year after client assets fell 13 per cent.
The initial dismissals represent 2.9 per cent of its 44,440 workers, Boston-based Fidelity said in a statement today. The company didn’t say how many jobs will be eliminated next year or by how much it expects to reduce expenses.
The biggest market losses since the Great Depression and investor withdrawals have lowered Fidelity’s assets under management to $1.4 trillion from $1.6 trillion as of Dec. 31. Stock and bond funds fell 23 per cent to $717 billion, according to estimates by Financial Research Corp. of Boston.
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