Wall Street gets ready to lay-off more workers
Financial firms on Wall Street cut more than 75,000 people in 2011, and their employees are preparing to layoff another round of people. Analysts on Wall Street estimate that banks will have roughly 10 percent to 15 percent fewer employees in the beginning of 2013 than they did at the start of 2012.
“Firms believe that their costs are way too high,” said Alan Johnson, CEO of compensation consulting firm Johnson Associates. “I tell my clients we’re not in a recovery. We’re in a struggle.” Due to interest rates sinking to all-time lows and growth slowing in the global economy, banks are struggling to capture new sources of revenue. This will lead to banks, once again, looking to pink slips to preserve their profits.