Morgan Stanley to cut 1,600 jobs
The reductions—which equal 2.6% of the bank’s total workforce—will occur in the first quarter of 2012 at all levels of the company.
By Bloomberg News
December 15, 2011 9:48 a.m.in
Updated: December 15, 2011 11:08 a.m.
(Bloomberg) – Morgan Stanley, the investment bank whose shares have declined 45% this year, plans to cut about 1,600 jobs amid a drop in revenue from investment banking and trading.
Reductions will occur in the first quarter of 2012 at all levels of the firm, said a company spokesman. The figure amounts to about 2.6% of the 62,648 employees New York-based Morgan Stanley had at the end of September.
CEO James Gorman is grappling with Europe’s debt crisis and concern that U.S. economic growth will slow, reducing demand for trading and investment-banking services. Morgan Stanley’s revenue from those businesses dropped 36% in the third quarter from the previous three months, excluding accounting adjustments.