JPMorgan cuts tech worker jobs

(Bloomberg) — JPMorgan Chase & Co., the biggest U.S. lender, is cutting hundreds of technology support employees in its corporate and investment bank amid a revenue decline, people with knowledge of the move said.

Workers in locations including New York, Tampa, Chicago and Dubai were notified of the cuts this month, said the people, who asked not to be identified because they weren't authorized to discuss the matter. Luke Moranda, a managing director in charge of clearing technology, and Dan Cronin, an executive director, were among those let go, the people said.

Wall Street firms are trimming expenses by paring support employees and moving personnel to lower-cost locales amid a decline in fixed-income trading. JPMorgan's corporate and investment bank, run by Daniel Pinto, posted a 12 percent revenue drop to $17.6 billion in the first six months of 2014, while noninterest expenses declined by 1.6 percent to $11.7 billion.

“We continue to be focused and diligent on managing expenses and operating as efficiently as possible across our businesses,” Chief Financial Officer Marianne Lake said this month in a conference call.
Moranda and Cronin didn't respond to e-mailed messages seeking comment. Brian Marchiony, a spokesman for New York-based JPMorgan, declined to comment.

Severance packages came with letters explaining that the bank's staffing needs have changed along with “changes in our business,” the people said. Some workers accepted demotions to reduce compensation costs.

JPMorgan has cut about 6,000 employees in the first six months of the year, leaving it with 245,192 workers at June 30 and exceeding a forecast in February that it would reduce total headcount by 5,000. The bank, which acquired Washington Mutual Inc.'s bank units and Bear Stearns Cos. during the financial crisis, is streamlining the group's technology systems.

Low volatility in debt and equity markets and new regulations have crimped trading, leading to Wall Street's worst start to a year in trading revenue since the 2008 financial crisis. An increase in client activity in June failed to carry over into July, Lake said on the July 15 conference call.

“Our general operating assumption is that the next two quarters will continue to have low activity year-over-year,” Chief Executive Officer Jamie Dimon, 58, said on the call. “That could change on a dime, as you know, but that's just how we're going to run the business.”

Morgan Stanley to Cut 580 Jobs Across New York Offices

Morgan Stanley will cut 580 jobs at four Manhattan offices, the company said in a filing with New York State's Department of Labor on Tuesday.

The filing, known as a "WARN" notice, is required under the state's Worker Adjustment and Retraining Notification Act. Morgan Stanley filed the notice after announcing plans in mid-December to cut 1,600 jobs across all geographic locations and seniority levels.

The cuts in New York will come from the investment bank's offices at 1221 Avenue of Americas, 1 New York Plaza, 1585 Broadway and 750 Seventh Avenue, according to the notice.

Morgan Stanley cited economic reasons for the job cuts, which come amid a sharp decline in investment banking and trading revenue across Wall Street.

Analysts expect Morgan Stanley to report a loss for the fourth quarter, due to a $1.8 billion charge related to a settlement with bond insurer MBIA Inc. They expect the bank to report revenue of $6.48 billion, according to Thomson Reuters I/B/E/S, which would represent a decline of 25 percent from the year-ago period.

Goldman to Lay Off 230 Employees in New York

NEW YORK - Goldman Sachs Group Inc plans to lay off 230 employees in New York because of economic conditions, according to a state filing on Wednesday.
* Bank cites economic conditions in govt filing

* Cuts will come during fourth and first quarters

The layoffs will take place during the fourth quarter of 2011 and first quarter of 2012, the filing said.

Companies based in New York that have at least 50 employees are required to notify the state Department of Labor if they plan to reduce the local workforce by a significant number. They must file "WARN notices" 90 days ahead of the planned reductions.

Goldman and other large Wall Street banks have started reducing their workforces to cut costs amid the slowdown in economic and market activity. Several large Wall Street banks have begun laying off employees due to weak trading volumes and regulations that limit their ability to engage in certain activities, such as proprietary trading.

Goldman's New York layoffs represent less than 1 percent of its 35,700 employees as of Dec. 31. Goldman is still hiring employees in growth markets like China, India and Brazil, President Gary Cohn said at a conference earlier this month.