Goldman Sachs Group in the United States plans global layoffs

Recently, according to comprehensive reports from multiple media, Goldman Sachs Group in the United States plans to lay off 1,300 - 1,800 people globally in the coming weeks, accounting for 3% - 4% of its total employee count. This layoff is to eliminate underperformers in the annual performance evaluation. As of the end of June this year, Goldman Sachs had approximately 44,400 employees worldwide.

Typically, Goldman Sachs reduces 2% - 7% of its total employee count annually based on various performance factors, and the specific layoff ratio fluctuates according to market conditions and the company's financial prospects. In the past, Goldman Sachs interrupted this layoff plan for 2 years due to the COVID-19 pandemic and then resumed it in 2022, that is, laying off low-performing employees every year. An informed source revealed that the layoffs have already begun and will continue until this autumn.

A spokesperson for Goldman Sachs said, "Our annual talent evaluation is normal, standard, and routine. We expect that the number of employees at Goldman Sachs in 2024 will exceed that in 2023." Although Goldman Sachs' stock price has soared 32% this year, outperforming the broader market and the index tracking large bank compe***s, deal-making activities are still below the historical average level.

Since 2023, many large global financial institutions have faced profit pressure due to capital market fluctuations and the rapid rise in interest rates and have announced layoffs one after another. Reports from the six major Wall Street banks show that in 2023, except for JPMorgan Chase, Bank of America, Wells Fargo Bank, Citibank, Goldman Sachs, and Morgan Stanley all had layoffs, among which Goldman Sachs laid off 3,200 people. And this year, Goldman Sachs' this layoff measure has once again triggered widespread concern in the market, and its subsequent development and impact on the financial industry are also highly anticipated.