Job losses more than in auto industry


NYT reports:

With its losses mounting, Wall Street is cutting jobs faster — and deeper — than even pessimists had feared…

In one the largest single rounds of layoffs on record, not just for the financial industry but for any industry, Citigroup said on Monday that it planned to eliminate a staggering 52,000 jobs, or 14 percent of its global work force.

While Citigroup had announced its intention to do away with about half those jobs already, news of the additional cutbacks — and the sheer size of the total — underscored the flagging fortunes of the entire financial industry. Not since the early 1990s has an American company announced such a sharp reduction in one swoop.

But few think the pain will end there for Citigroup or its industry rivals. After years of breakneck growth during which the financial industry, its profits and its pay assumed outsize roles in the nation’s economic life, Wall Street is in the grips of its sharpest contraction in modern times. The industry has shed more than 120,000 workers since the beginning of 2007, and many predict at least 240,000 more will go this year and next.

Robert Rubin maintains his pay as far as I can tell…millions since 1999 from Citigroup. I am glad Volcker was chosen.