Morgan Stanley Considers Cutting 7% Of Jobs From The Asia-Pacific Region
According to recent reports, Morgan Stanley is thinking about cutting 7% of its workforce from the Asia-Pacific investment division. If this turns out to be true, then the workforce from China will take the biggest hit!
As for the timeline, the sources say that it will start this week. The affected bankers who will be let go will likely hear from the management this week.
3000+ Jobs At Risk
For now, up to 40 jobs at Morgan Stanley are at risk, especially those from the capital markets unit. However, Morgan Stanley didn't respond back when asked about this from the media.
During the 2nd quarter, the bank is supposedly thinking about cutting 3000+ jobs. This was reported in the media on 1st May which revealed that it will be the 2nd round of cutting jobs at Morgan Stanley.
Expert believes there are many reasons which forced the Morgan Stanley to take this route. For starters, the current economic environment is very tough, and on top of that, the dealmaking is also very low.
This is making Morgan Stanley question its current headcount figure. And it appears we will soon get confirmation whether the job cuts are real or not (as soon as this week).
By the end of March, 82,000+ people were working at Morgan Stanley. So if 3000 jobs are cut, it would mean Morgan Stanley is planning to cut 4% of its workforce.
According to experts, the problem of slow dealamking isn't just limited to Morgan Stanley. In fact, it is a global phenomenon that is hurting most of the investment banks.
During Q1 of 2023, the number of corporate buyouts reached one of its lowest levels in the last 10 years! This automatically means bad news for the firms like Morgan Stanley & that's exactly what we see from these reports of job cuts.