NY securities sector may lose 10,000 jobs: report

Reuters News
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Posted: Oct 11, 2011 2:48 AM

(Reuters) - New York City's securities industry could lose nearly 10,000 jobs by the end of 2012, according to a report by New York state's comptroller Thomas DiNapoli, the Wall Street Journal said.

In a report due for release on Tuesday DiNapoli also said bonuses were likely to shrink this year, reflecting lower profits on Wall Street, the WSJ reported.

Financial firms play a major role in New York's economy and its budgets. DiNapoli's office estimates that one in eight city jobs and one in 13 state jobs rely on securities firms.

Big financial firms have been cutting jobs this year as the industry tries to cope with worsening market conditions and increased regulatory scrutiny.

Goldman Sachs, Credit Suisse Group AG, Barclays PLC and Bank of America Corp have already announced job cuts.

However, it is not clear how many of those job cuts would be made in New York city.

New York state comptroller's office could not immediately be reached for comment by Reuters outside regular U.S. business hours.

(Reporting by Sakthi Prasad in Bangalore; Editing by Helen Massy-Beresford)