2011 Layoffs Recap
If there is one caricature I hate representing, it’s the Grinch. So for my own sake, I better get this out before Christmas comes around- this was an extremely rough year for Wall Street. Amid bankers having to deal hoards of protestors just to get in the door for work, cuts have been especially rampant this year. To be exact, over 210,000 financial services jobs have been cut this year, over 60,000 more than 2010 and almost 160,000 more than 2009.
Although back office and middle office roles experienced an unusual uptick in outsourcing, European contagion made deleveraging by eliminating front office roles an explicit goal for our biggest banks. Additionally, I have gathered that FO layoffs are directly targeted to investment banking divisions.
Listed below are some of the major layoffs for this year, including revisions for additional layoffs.
HSBC- 30,000 to 45,000 jobs axed internationally. As quoted from an HSBC IBD insider, “Many of the cuts are coming from the investment banking office in New York. It is going to be an especially tough year for jobs at HSBC US investment bank.“
Bank of America- In September, BoA announced that it would axe 30,000 jobs globally. From dealbreaker, “Cuts went down at the House of Moynihan November 16h and the day before in S&T…strangely, some real producers were let go, and a lot of shlubs stayed.”
Goldman Sachs- 1,000 let go by 2012. Recently, another 1,000+ cuts were announced in order to combat current losses within their trading division.
UBS- 3,500 laid off in the US. Most of the cuts were directed to investment bankers, the rest were in wealth management and asset management divisions. Another 300 cuts were announced mid November for 2011, early 2012.
Credit Suisse “Layoffs December 2nd in NY IBD with just about every group impacted, at all levels.” About 1,600 total just in investment banking this year. Another 2,000 were cut late summer this year.
Citigroup- 3,000 gone by the end of this year and another 4,500 in coming quarters.
Morgan Stanley- As announced yesterday, 1,600 additional cuts to be made by the first quarter of 2012. A 2.6% reduction of staff directed at IBD higher-level roles like associates and senior analysts.
Société Générale- 150 recently laid off due to the dismantling of its energy division in Stamford, Connecticut.
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Sorry if I missed anything, I began getting relatively depressed halfway through. Happy Holidays, and congrats to everyone who finished finals this week!
Yeah, this year was brutal for the finance job market, much worse than last year. I laugh my ass off when random people at top b-schools e-mail me, asking for job leads and career "advice." Lol.
Given your posting history and poor reputation on this website, I laugh my ass off thinking that anybody would ask you of all people for job leads and career advice.
wowza
http://www.wallstreetoasis.com/forums/wall-street-hiring-if-07-was-a-10…
I seriously believe that '4' is overstating here
are the big consulting firms generally more safe harbored from economic storms vs the investment banks are? or maybe more correlated to the economic weather than the actual financial market performance per the ibanks?
That number for GS doesn't smell right. They have 35,000 employees globally. So basically, they laid off nearly a 1/3 of their staff?
I agree it seems high, but keep in mind they are always hiring young 'cheap' blood
Still doesnt jive. "Cheap blood" doesnt really exist in the IB world. The way IB employees justify their high compensation is "we need to pay for the best talent or lose talent to the competition" (absolute BS, IMO). Imagine you are a manager and you recruit a new employee for a lot less than the guy you just fired. What does that signal to the compensation comittee? It signals that you and your coworkers are over-paid asshats, you can pick up competetive talent for less without fear of losing them to the compitition, and there are plenty of warm bodies floating around in the talent pool willing to work for less comp.
You will struggle to get any job in finance if you think that 1,000 is 1/3 of 35,700.
though not a BB, the IBD and asset management fall under this unit:
http://www.bloomberg.com/news/2011-12-08/spain-s-bbva-cuts-150-employee…
What do these guys do when they are laid off? Do they just live off of their life savings? I would think that they would look For other jobs in other banks but no one is hiring so....
Does GS really only employ 35,000 globally? MS's 1,600 represents 2.6% so over 60,000 employees and I thought GS was larger and employed more
http://en.wikipedia.org/wiki/Goldman_Sachs
35,700 Worldwide
^ It was previously listed as 10000.
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