Morgan Stanley reportedly set to cut 3,000 jobs by end of Q2
US multinational Morgan Stanley is reportedly set to cut 3,000 jobs across its global workforce by the end of this quarter, with around 5% of staff on the chopping block.
Morgan Stanley to cut 3,000 jobs
According to Bloomberg, a dearth of deal making is to blame for the cuts, with a 32% decline in its merger advisory arm and 22% drop in its equity underwriting business causing Morgan Stanley’s Q1 2023 profit to fall compared to last year.
The banking and trading arm of the firm is expected to bear the brunt of the cuts, Bloomberg reports, with fewer M&As, a reduction in capital raises, interest rate hikes and regional banking instability also cited as reasons.
Bloomberg forecasts Morgan Stanley’s revenue from banking fees will match last year’s – coming to around half the $10.3 billion that the bank generated in 2021.
The job cuts at Morgan Stanley mark its second round of layoffs in the last six months after the firm let go of around 2% of staff last December.
