Wall Street major Morgan Stanley (MS.N) is expected to start a fresh round of layoffs globally in the coming weeks, three people with knowledge of the plan said, as dealmaking business takes a hit due to rising inflation and an economic downturn.
In Asia Pacific, the bank has drafted up a list of staff members considered redundant, who will mainly come from teams that focus on China-related business, two of the sources said. All declined to be named as the information is confidential.
One of the sources said the bank’s 30-plus technology investment banking team in Asia Pacific will also be affected by the cuts.
The cuts in Asia Pacific will be greater than the bank’s annual staff losses from natural attrition in the region, the three sources said, adding that a final decision on the size of the cuts is yet to be taken.
Global cuts will be made around the same time, they added.
A fourth source said the bank has yet to make decisions about the scale or timing of any layoffs, adding that layoffs are not imminent. Any cuts would represent a low-single digit percentage of staff globally, this person said.
Morgan Stanley, which had 81,567 employees globally at the end of the third quarter, according to a company filing, declined to comment for the story.
With prospects for arranging and financing deals drying up, some investment banks are firming up plans to cut jobs.
Source: Reuters
