Wall Street could lose 10,000 jobs in the coming year
Steve Chiotakis: Protests continue today on Wall Street — and elsewhere — over big compensation and little financial oversight. But things might not be looking so good for those who work in the securities industry.
The Wall Street Journal reports the New York state comptroller is predicting big losses and lower pay, as Marketplace’s Alisa Roth reports.
Alisa Roth: The report says the securities industry in New York could lose as many as 10,000 jobs by the end of next year. A lot of banks have been talking about layoffs. Goldman says it could cut 1,000 jobs plus; Credit Suisse and Barclays have both announced layoffs, though they haven’t given numbers.
Danny Sarch runs an executive search firm for the financial services industry. And he says everybody’s worried about the economy. And the regulatory environment — but that doesn’t mean every company is laying people off.
Danny Sarch: We’re saying Wall Street in the most general terms, which includes investment banks and commercial banks. And essentially even though the world sees it as one industry, it’s really lots of mini industries.
The report also says bonuses will likely be smaller this year.
The job cuts and smaller bonuses could have implications well beyond Wall Street. Both New York City and New York State depend heavily on the securities industry for tax revenue.
In New York, I’m Alisa Roth for Marketplace.
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