Citi, JPM, CS, Goldman in Indian job cuts
As many as 160 high-paying jobs in India operations of these global giants are at stake, two investment bankers with direct knowledge of the situation told HT.business Updated: Nov 24, 2008 20:42 IST
Citigroup, J.P. Morgan, Credit Suisse and Goldman Sachs—four of the most glamorous names in the now-disgraced investment banking industry – are laying off high-level staff in India, albeit in a soft, staggered manner, highly placed sources in these companies said.
As many as 160 high-paying jobs in India operations of these global giants are at stake, two investment bankers with direct knowledge of the situation told HT.
Internal e-mails have gone out subtly sounding out people on likely exits, a source said.
The job cuts are happening mainly with teams for structured finance, proprietary investments and derivatives. "There is a severe credit crunch and there is no business. So, what is the point in keeping unwanted staff?" asked the India head of a US-based investment banking firm, who did not want to be identified.
Some of those about to lose their jobs had earned annual packages as high as around $1 million (Rs 5 crore) during the bull run in the stock markets, when these professionals were at their peaks.
Though it is not clear how many jobs will be cut, indications are that in some investment bank operations in India, the cut could be as high as 25 per cent.
In an emailed response, Goldman said it was planning to reduce the overall global workforce by 10 per cent, adding it does not give any information specific to locations or business units. Credit Suisse expressed a similar view.
First Published: Nov 24, 2008 20:41 IST