Exodus at Nomura India ops?
The abrupt and unexpected resignations of two senior executives at Japan's largest brokerage and investment banking firm Nomura Holdings within a span of 48 hours have triggered speculation about a more widespread employee exodus, especially from its India-based back-end operations that employ nearly 3,000 people.business Updated: Jan 12, 2012 01:37 IST
The abrupt and unexpected resignations of two senior executives at Japan's largest brokerage and investment banking firm Nomura Holdings within a span of 48 hours have triggered speculation about a more widespread employee exodus, especially from its India-based back-end operations that employ nearly 3,000 people.
Tarun Jotwani, global markets head and Jasjit "Jessi" Bhattal, wholesale banking unit chief, put in their papers in the last two days without citing specific reasons.
Both Bhattal and Jotwani were former Lehman Brothers executives, who had moved to Nomura after the Japanese firm acquired the US-investment banking firm's Asia Pacific operations in September 2008.Lehman Brothers filed for bankruptcy in 2008 in wake of the credit crisis in the US that led to world economy's worst slowdown in eight decades.
Bhattal, a 20-year Lehman veteran was a revered as a "cult figure" by former Lehman bankers for having saved their jobs.
His former colleagues credit him with successfully negotiating with Nomura to guarantee the employment of Lehman's employees along with salaries and bonuses.
However, a source told HT that the marriage of the two firms never worked out and there had been issues relating to "work culture" which could not be ironed out.
A Nomura India spokesperson declined to comment.
The source, however, said that several senior level executives who had moved from Lehman Brothers to Nomura have already quit, while a few others may follow suit.
"At present, only a few senior executives who joined Nomura from the US investment firm are left, most have quit," the source said.
Many global investment banking firms are reducing headcounts to slash their wage bills.
"Sentiments are very low and the focus in no more on increments and raises this time, most executives are worried about the safety of their jobs," a senior vice president engaged in a multi national firm providing financial services told HT on the condition of anonymity.
First Published: Jan 11, 2012 21:55 IST