The Layoffs Begin: Bank Of America Will Cut 5% Of Capital Markets Employees Before Bonus Season

Bank of America’s Tom Montag told BAC’s capital markets group to cut 5% of its job force, says Charlie Gasparino.

Apparently Montag’s move to cut staff before bonus season is particularly pissing off employees in the unlucky unit.

From FOX:

Though the cuts are said to be modest in size — around 5%, and only in certain profit-challenged areas of the bank’s capital markets unit — the move to trim jobs by capital markets chief Tom Montag is seen as significant inside the bank, people close to the matter say.

The cuts are expected to be announced this week and will impact trading desks.

With volume on Wall Street light all year, and spreads coming in, there’s been a lot of talk about an inevitable wave of headcount reductions at banks. It’s beginning.

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