Morgan Stanley will cut 1,600 jobs early next year

AP News
Posted: Dec 15, 2011 12:32 PM
Morgan Stanley will cut 1,600 jobs early next year

Morgan Stanley will cut about 1,600 jobs across all levels of company, becoming the latest bank to slash payrolls against a backdrop of extreme volatility in financial markets.

The cuts, which amount to 2.6 percent of the bank's workforce, will be made in the first three months of 2012, a spokesman for the New York investment bank said Thursday. The bank had more than 62,000 employees as of the end of September.

Spokesman Mark Lake said that the cuts will occur globally and will include analyst, associate, vice president, executive director and managing director levels.

Citigroup also said last week it will eliminate 4,500 jobs, or about 1.5 percent of its global workforce of 267,000, over the next few quarters. Swiss lender UBS also has told investors it will downsize its investment bank to 16,000 people by 2016 from the current 18,000 as the bank tries to reduce its exposure to risk.

In September, Bank of America Corp., based in Charlotte, N.C., said it would cut 30,000 jobs over the next few years.

Morgan Stanley's stock rose 28 cents to $15.34 in midday trading. The stock has lost 44 percent this year.