BlackRock laying off 500 staffers

My partner received a call this morning that his was one of the teams dissolved at Goldman Sachs. He had just gotten off the phone with a client, only for a boss multiple levels up to be calling him. “Hey we haven’t really talked before and this isn’t how I’d like for us to meet, but we’re dissolving your role.” Followed by the details of his severance and notification that his access was already revoked. It’s wild out here, man. Corporate loyalty will never reciprocate the individual. They’re money makers. Even Salesforce let go of their “ohana”. Lilo and Stitch would be so disappointed. #business #salesforce #banking #layoffs #goldmansachs

Layoffs are happening across Wall Street on Wednesday, with Goldman Sachs starting the?process of cutting more than 3,000 staff, and BlackRock?cutting up to 500. The cuts follow a terrible 2022 for markets, as Russia's invasion of Ukraine, inflation, and rate hikes sent markets into a tailspin. That led to a sharp drop in dealmaking and declining revenues and assets under management at top investment firms. Reporting from Sindhu Sundar, Rebecca Ungarino, Carter Johnson, and Alex Morrell.

BlackRock, the world's largest asset management firm, is cutting up to 500 roles in its first round of layoffs since?early 2019, according to a memo viewed by Insider Business. Rebecca Ungarino has the details.

Scoop on Insider Business: BlackRock, the world's largest asset management firm, is cutting up to 500 roles in its first round of layoffs since?early 2019. The reductions represent less than 3% of its global workforce of 19,900 and come as severe market declines last year weighed heavily on revenue and assets under management. A slowdown in corporate dealmaking has impacted investment banks, while the?worst year for major US stock indexes?since 2008 has hit asset managers, which make most of their money from fees they charge to handle assets for clients. BlackRock's revenue in the first nine months of 2022 fell 15% from a year prior, while assets under management fell to $8 trillion from $9.5 trillion over the same period.

Goldman Sachs apparently failed to identify and layoff underperformers over a period of several years. It’s biting them now.