# Factbox-Global banks take axe to jobs as cost pressures mount Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2022-12-02 Category: BANKING Category URL: https://financedigest.com/category/banking Meta Title: Major Banks Announce Job Cuts Amid Economic Uncertainty Meta Description: Find out which major banks like Barclays, Citigroup, Credit Suisse, Deutsche Bank, and Goldman Sachs are cutting jobs due to profit concerns in 2022. URL: https://financedigest.com/factbox-global-banks-take-axe-to-jobs-as-cost-pressures-mounthtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2022-12-02t163722z3lynxmpeib10iyrtroptp4citigroup-banamex-1736814777184-compressed.jpg) LONDON (Reuters) – Banks typically trim jobs towards the end of the year, but 2022 has seen a bigger wave of redundancies and layoffs. Rising cost pressures as a result of inflation and shrinking revenues in many core business lines amid volatile markets are making bank bosses nervous about profitability in 2023. The following major banks have announced or been reported to be making job cuts: BARCLAYS Barclays cut its workforce in corporate and [investment banking](https://www.financedigest.com/credit-agricole-launches-china-ma-and-investment-banking-business.html "Credit Agricole launches China M&A and investment banking business") by under 3%, a source told Reuters on Nov.8, weeks after reporting a 45% slump in merger advisory fees. The [British investment bank](https://www.financedigest.com/crown-agents-bank-owner-explores-sale-of-british-payments-group-sources.html "Crown Agents Bank owner explores sale of British payments group –sources") has performed well in recent quarters, in fixed income trading especially, but a blunder in the U.S. that saw it sell more securities than permitted has [cost it hundreds](https://www.financedigest.com/commonenergy-mistakes-costing-homeowners-hundreds-of-pounds-each-year.html "Commonenergy mistakes costing homeowners hundreds of pounds each year") of millions of dollars in penalties. CITIGROUP [Citi eliminated dozens of jobs across its investment](https://www.financedigest.com/investing-in-the-city-thats-investing-in-itself-welcome-to-the-liverpool-of-the-future.html "INVESTING IN THE CITY THAT’S INVESTING IN ITSELF – WELCOME TO THE LIVERPOOL OF THE FUTURE!  ") banking division, as a dealmaking slump continues to weigh on Wall Street’s biggest banks, Bloomberg News reported on Nov.8. The U.S. lender has like its peers boosted its lending income as interest rates rise, but the aggressive action by the Federal Reserve and other central banks has sparked [fears of a downturn that could hit](https://www.financedigest.com/uk-economy-set-for-smaller-hit-in-2023-than-previously-feared-imf.html "UK economy set for smaller hit in 2023 than previously feared – IMF") banks’ loan books in time. [CREDIT SUISSE](https://www.financedigest.com/bank-shares-rise-after-credit-suisse-rescue-eases-crisis.html "Bank shares rise after Credit Suisse rescue eases crisis") [Credit Suisse](https://www.financedigest.com/some-credit-suisse-at1-bondholders-seek-legal-advice-law-firms.html "Some Credit Suisse AT1 bondholders seek legal advice -law firms") is accelerating cost cuts announced just weeks ago, Chairman Axel Lehmann said on Dec. 2, confirming a Reuters report, as the [bank races to slash its cost base by around 2.5 billion](https://www.financedigest.com/20-billion-in-bank-service-fees-are-you-overpaying.html " Billion in Bank Service Fees: Are You Overpaying?") Swiss francs ($2.68 billion). Credit Suisse had already said it would [lay off some staff](https://www.financedigest.com/amazon-to-lay-off-staff-in-u-s-canada-and-costa-rica-by-end-of-day.html "Amazon to lay off staff in U.S., Canada and Costa Rica by end of day"). The cost savings reported this month are likely to involve more [job cuts](https://www.financedigest.com/icrc-to-cut-some-1500-jobs-as-humanitarian-budgets-seen-sliding.html "ICRC to cut some 1,500 jobs as humanitarian budgets seen sliding") than previously announced for the first wave of reductions, including in its wealth business, Reuters reported. The bank is cutting about 5% of its private banking headcount in [Hong Kong](https://www.financedigest.com/screening-of-winnie-the-pooh-horror-film-cancelled-in-hong-kong.html "Screening of ‘Winnie the Pooh’ horror film cancelled in Hong Kong"), two sources said. [DEUTSCHE BANK](https://www.financedigest.com/deutsche-bank-equity-bear-market-rally-will-stretch-into-2023-dollar-weaker.html "Deutsche Bank: Equity bear market rally will stretch into 2023, dollar weaker") Deutsche Bank, Germany’s largest bank, [cut staff in its investment bank’s](https://www.financedigest.com/ecb-raises-interest-rates-again-cuts-bank-subsidies.html "ECB raises interest rates again, cuts bank subsidies") origination and advisory teams in October, in a move than affected mostly junior bankers. The cuts included dozens of staff in New [York and London](https://www.financedigest.com/new-york-holds-top-spot-london-second-in-z-yen-financial-centre-survey.html "New York holds top spot, London second in Z/Yen financial centre survey"), Reuters reported. GOLDMAN SACHS Goldman Sachs restarted its annual practice of cutting [jobs this year](https://www.financedigest.com/inpost-sees-better-margin-in-poland-plans-no-job-cuts-this-year.html "InPost sees better margin in Poland, plans no job cuts this year"), after pausing in the pandemic. The [Wall Street giant began axing several hundred jobs](https://www.financedigest.com/asian-stocks-edge-up-before-u-s-jobs-data-defying-wall-street-selloff.html "Asian stocks edge up before U.S. jobs data, defying Wall Street selloff") starting in September. Goldman typically trims about 1% to 5% of its staff each year, and the 2022 [cuts will likely be in the lower end](https://www.financedigest.com/hp-to-cut-about-12-jobs-by-end-of-fiscal-2025.html "HP to cut about 12% jobs by end of fiscal 2025") of that range, a source told Reuters. HSBC Under pressure from his biggest shareholder, China’s Ping An Insurance Group, to improve profit HSBC Chief Executive Noel Quinn has in recent months accelerated [plans to shrink its global empire and streamline](https://www.financedigest.com/uk-plans-streamlined-post-brexit-border-checks.html "UK plans streamlined post-Brexit border checks") its management. Reuters reported HSBC is shedding at least 200 senior managers, as it prunes the ranks of [Chief Operating Officers it has across an array of country and business](https://www.financedigest.com/tips-for-choosing-the-right-chief-finance-officer-for-your-business.html "Tips for Choosing the Right Chief Finance Officer for Your Business") lines. The [bank also announced it is selling its Canadian business for $10 billion](https://www.financedigest.com/first-abu-dhabi-bank-could-renew-35-billion-offer-for-stanchart-bloomberg-news.html "First Abu Dhabi Bank could renew billion offer for StanChart -Bloomberg News"), removing around 4,000 employees from its wage bill at a stroke. It also announced on Nov. 30 the [sale of its much smaller New Zealand business](https://www.financedigest.com/the-ultimate-excel-sales-tracking-templates-for-businesses.html "The Ultimate Excel Sales Tracking Templates For Businesses"), and the closure of a further 114 branches in Britain, leaving it with around a third of the number of outlets it had as recently as 2016. MORGAN STANLEY Morgan Stanley is making modest [job cuts](https://www.financedigest.com/telecom-italia-in-talks-with-unions-on-up-to-2000-job-cuts-in-italy.html "Telecom Italia in talks with unions on up to 2,000 job cuts in Italy") worldwide, Chief Executive James Gorman said at the Reuters NEXT conference on Dec.1, without giving numbers. Reuters had on Nov. 3 reported layoffs were coming, with dealmakers in its Hong Kong and mainland [China businesses](https://www.financedigest.com/lighting-maker-signify-cuts-2022-outlook-again-on-china-business-lighting.html "Lighting maker Signify cuts 2022 outlook again on China, business lighting") among those affected, as strict Chinese lockdown rules weighed on activity. Sources said the cuts would go beyond usual attrition. ($1 = 0.9337 Swiss francs) [(Reporting by Lawrence White; Additional reporting by Iain Withers; Editing by Alexander Smith)](https://www.financedigest.com/white-bullet-releases-ad-funded-piracy-report-for-world-intellectual-property-organisation-wipo.html "White Bullet releases Ad Funded Piracy Report for World Intellectual Property Organisation (WIPO)") --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---