FOX Business Network (FBN) senior correspondent Charlie Gasparino reports that both “Morgan Stanley and Goldman Sachs are seriously eyeing layoffs.” Gasparino went on to report that “press officials both at Morgan and Goldman are not denying it,” saying that “they are looking at headcount all the time.” In addition, Gasparino reports that Citigroup employees are saying the bank timed today’s 11,000 cutback announcement to allow them to “renege on year-end bonuses to anybody that’s been caught in the cutback.” Excerpts from the report are below, courtesy of Fox Business Network.
On whether Morgan Stanley and Goldman Sachs are eyeing layoffs:
On the timing of Citigroup’s 11,000 job cut:
“We should point out that Wall Street executives employees, not just the high flying ones that make millions of dollars, they get most of their compensation through the year-end bonus. They get a salary and they get a bonus and most of what they make every year is in the bonus. The way Citigroup did these cuts from what I understand – I am getting this from Citigroup employees are telling the FOX Business Network, they can essential renege on year-end bonuses to anybody that’s been caught in this cutback that’s basically out of a job now.”