At Least 1/3 Of Morgan Stanley Layoffs Will Hit New York City

Thursday, December 29, 2011 09:03
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At Least 1/3 Of Morgan Stanley Layoffs Will Hit New York City

Tags: Morgan Stanley

More details on Morgan Stanley's plans to cut 1,600 jobs worldwide are emerging. The core New York City operations will take the brunt of the restructuring, while foreign offices will also scale back.

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State filings indicate that the wirehouse is already laying off around 580 workers based in various Manhattan locations, including the corporate headquarters.

 

Given Morgan's global reach, it is likely that the other 1,000 job cuts will come from more incremental layoffs across its overseas locations.

 

No word yet from the institutional services unit in Denver.

 

However, if what I've heard from other big banks is true, Colorado is viewed as a "mid-cost" location -- similar to Citigroup's institutional operation in Ohio -- and so it might be relatively shielded from the deep cuts in New York and elsewhere.

 

At this point, the tax advantages for keeping domestic offices open are overcoming the cost differential that companies like Morgan can get by farming out support jobs to India or China.

 

In the meantime, Morgan is still aggressively hiring financial advisors throughout the United States.

 

 

Comments (2)

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vguettlein
Wow, we're MidCoast now? I always thought we were just "flyover country".
vguettlein , December 30, 2011
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ScottMartin
That's a mid-COST! By which the payroll people mean, "anything between Manhattan and India."

And I don't need to tell you how expensive the Front Slope has gotten, so there's a lot of room there.

Thanks for keeping us honest all year...see you in 2012!
ScottMartin , December 30, 2011

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