Morgan Stanley to implement 1,600 redundancies

16 December 2011

Morgan Stanley is planning to implement approximately 1,600 job cuts during the opening quarter of next year due to continuing global economic pressure.

The US bank announced these redundancies yesterday (15 December) amid ongoing concerns regarding the future prospects of the investment banking and trading arena as the effects of the eurozone debt crisis carry on being felt.

Mark Lake, spokesman for the financier, indicated this process - which will involve around 2.6 per cent of the company's 62,648 employees - will be completed in the first three months of 2012.

Throughout this year the firm's share price has dipped by 45 per cent, which has significantly increased the level of strain on its budget.

Mr Lake explained this decision comes after the bank had conducted its "year-end performance-management process and evaluated the right size of the franchise for 2012".

Recently, it emerged French financier Credit Agricole is considering making around 2,000 job cuts in the near future.

Posted by Asim Shah

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