Goldman Sachs on Tuesday began laying off employees, with up to 3,200 positions to be eliminated in the company’s largest round of job cuts since the 2008 financial crisis, according to multiple reports.
Bloomberg News reported that more than a third of the cuts would come from Goldman Sachs’ core trading and banking units, citing an unidentified source. A majority of those affected will be notified on Wednesday, according to The New York Times.
The cuts, which amount to about 6% of the bank’s workforce, are in addition to layoffs in October of underperforming employees, the Times reported. It was not clear how many positions were eliminated during that round. Reuters reported that Goldman Sachs typically cuts between 1% and 5% of its workforce each year.
Since 2018, the company has grown 34%, employing more than 49,000 workers at the end of September, according to Bloomberg News. The news agency reported that despite the layoffs, Goldman Sachs expects to continue hiring.
The cuts come as Goldman Sachs and other major investment banks grapple with a slowdown in corporate dealmaking caused by volatility in global financial markets, Reuters reported.
Morgan Stanley laid off about 1,600 employees, or 2% of its global workers, in December, according to the Times. Citigroup has also reduced its workforce, Reuters reported.
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