BarCap to cut 'hundreds' of jobs

2 December 2010

Hundreds of jobs are expected to be cut at Barclays Capital (BarCap), after its period of rapid growth immediately after the financial crisis was followed by a sharp drop in income.

The Financial Times reports that some bankers and traders are likely to be made redundant in addition to support workers. Investment banks across the world have struggled in recent months due to a drop in sales.

Under the stewardship of chief executive Bob Diamond, BarCap has sought to seize market share from rivals in the wake of the recession, but was forced to let 300 staff go in August after posting below-par results in the second quarter of the year.

The company has hired more than 4,000 newcomers over the last 18 months, bringing its total workforce to around 25,000.

Earlier this month, Barclays sold its private equity division to its managers in a deal which is expected to see its former parent receive a a cut of any profits for several years to come.

By Asim Shah

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