Wall Street Layoffs: More Than One-Third Of Morgan Stanley Job Cuts To Hit NYC
More than one-third of job cuts at Morgan Stanley will likely hit workers in New York City.
Nearly 600 of the 1,600 job cuts that Morgan Stanley announced last month will probably come from New York City, according to a regulatory filing cited by Bloomberg. The Morgan Stanley layoffs are just one part of a wider trend; Wall Street firms have said they will eliminate more than 200,000 jobs around the world this year. Thomas DiNapoli, the New York State Comptroller estimated earlier this year that 10,000 New York-based employees of the securities industry will lose their jobs by 2012, according to The New York Times.
Bank of America announced in September that it would slash 30,000 jobs over the next few years to save $5 billion. Since the announcement, BofA employees have been flooding rival banks with resumes, Reuters reported last month. Still, they may be hard-pressed to find a job. Citigroup is planning to cut 4,500 jobs over the next few quarters, while Barclays said in August that it would slash 3,000 jobs. UBS plans to reduce its workforce by one-tenth over the next five years.
Though financial industry workers may be plagued by constant layoff announcements, those who survive will likely be handsomely rewarded. Seven big banks' pay data indicate that Wall Street compensation is on track to exceed 2010 levels, according to an analysis from the Public Accountability Initiative.
New hires are also raking it in. Banks also boosted their use of "guaranteed bonuses" -- or the practice of guaranteeing employees a bonus before they've ever made a trade -- in 2010, The Institute for International Finance found.
Wall Street workers seem prepared for a boost. Most financial industry employees say they expect to get the same or higher bonus as what they got last year. Still, if last year's pattern holds true, the workers may not get their wish. Wall Street bonuses dropped 9 percent in 2010.Wall Street isn't the only industry slashing jobs. Here are the 2011 layoff kings: