Goldman Sachs will start cutting thousands of jobs across the business from this week in an effort to sharply cut costs, according to reports.
The US investment banking giant is expected to axe around 3,200 roles as it prepares for tough economic conditions, including recessions in many key markets. According to Bloomberg, the bank will cut around 6.5 per cent of roles from its 49,000 workforce and will include reductions in its core trading and banking units.
The company is also expected to cut hundreds of jobs from its loss-making consumer operation after scaling back its direct-to-consumer division, called Marcus.
It is not known where the job losses will occur but the firm has six offices in the UK including in London, where it is believed to employ around 6,000 staff, Milton Keynes and Birmingham.
It is in the latter where the bank has announced significant investment in recent years by launching a brand new team there in September 2021 in a temporary facility which has since grown to around 250 staff.
And last autumn it revealed it had struck a deal for a 110,000 sq ft permanent home in Birmingham's new Paradise office development where more than 1,000 employees could be based if required.
Its largest presence is in the US where it has more than 25 offices.
Last month, chief executive David Solomon reportedly sent a voice memo to staff for the year end, warning headcount was set to be reduced in the new year.
Goldman Sachs, which is due to report on its own fourth quarter figures on January 17, had significantly increased its workforce since 2020 as it sought growth opportunities following the pandemic.
However, institutional banks have been struck by a major slowdown in activity in recent months due to volatility in the global financial markets.
Goldman Sachs declined to comment.
