Japanese Lehman staff to lose jobs under Nomura

Around 25 per cent of Lehman Brothers employees in its Japanese equities business are to be laid off, Bloomberg reports.

Two insiders told the news agency that 40 workers in the 170-strong team might be cut, following Nomura's takeover of the division.

The bankers have yet to sign new contracts with their new bosses.

Lehman declared section 11 bankruptcy last month, with its assets being sold off.

Following the job losses, other Japanese banks are expected to offer some of the equities specialists new positions.

Speaking to the news agency Katsunobu Komizo, president of Executive Search Partners in Tokyo, commented: "There is strong demand for talented personnel in Japan, especially among European firms that want to tap the know-how of US banks."

Masako Shiono, a spokeswoman at Mizuho, added that the bank was "willing to hire talented people anytime", but did not say whether or not they were targeting ex-Lehman staff.

Nomura has declined to comment on the matter.