Morgan Stanley’s CEO has assured the firm’s 60,000 employees that it plans no job cuts this year despite the pressures arising from the coronavirus pandemic, according to news reports. Some banks have made similar commitments.
“I am sure some, if not many, of you are worried about your jobs,” Morgan Stanley CEO James Gorman told staff Thursday in a memo cited by CNBC. “While long term we can’t be sure how this will play out, we want to commit to you that there will not be a reduction in force at Morgan Stanley in 2020.”
“Aside from a performance issue or a breach of the Code of Conduct, your jobs are secure,” he said, according to the TV news channel.
Morgan Stanley did trim its workforce by around 2% in late 2019 through layoffs, primarily among technology and operations staff, CNBC reported in December.
Some of the other large banks, meanwhile, are also making commitments about their employees’ job security in 2020. Citigroup’s CEO Mike Corbat wants to avoid putting any additional strain on the firm’s more than 200,000 employees, so the firm “will at least temporarily refrain from layoffs,” CNBC reports, citing a person with knowledge of the matter.
Reuters, meanwhile, cites someone familiar with the matter as saying that Corbat has ordered a suspension of planned cuts.
Wells Fargo is likewise suspending new layoffs and has paused “initiating new displacements,” a spokeswoman for the firm tells the newswire.
But JPMorgan Chase — which temporarily shut down 20% of its branches in light of the coronavirus pandemic — declined comment to Reuters. JPMorgan has reportedly implemented a hiring freeze at most of its departments.
Bank of America, meanwhile, didn’t respond to the newswire’s request for comment about any planned job cuts.
Goldman Sachs, meanwhile, hasn’t made any decisions about staff cuts this year, a spokeswoman for the firm tells Reuters.
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