After Goldman Sachs and Credit Suisse announced the decision to lay off thousands of employees last month, another banking giant seems set to join the list.
American financial service sector giant Morgan Stanley¡¯s CEO James Gorman has hinted about job cuts coming up as senior executives at the firm are assessing the headcount.?
¡°You¡¯ve got to take into account the rate of growth we¡¯ve had in the last few years," Gorman said in a conference call with analysts after his bank reported third-quarter results last week, as per Bloomberg. He added ¡°We¡¯ve learned some things during Covid about how we can operate more efficiently. So that¡¯s something the management team is working on between now and the end of the year."
Amid the economic slowdown, high inflation and deepening recession fears looming over the world, Morgan Stanley¡¯s layoffs will make it enter a long list of global giants that have been laying off employees in recent months, besides many other companies, including startups, which too have been laying off employees.
From Tesla, Goldman Sachs, Meta to Microsoft, let's have a look at some of the giant global organizations that have announced layoffs?or hinted at doing so soon:
Tech giant Microsoft announced in July 2022 that it had laid off nearly 1800 employees amid restructuring. This affected almost 1% of its 1,80,000-strong workforce across its offices and product divisions. But the company also mentioned that it will continue to grow headcount overall in the year ahead.
In August 2022, American automobile manufacturer Ford had confirmed that it is laying off roughly 3,000 employees and contract workers, with the cuts primarily affecting staff in the US, Canada and India.?
Around 2,000 of the targeted cuts will be salaried jobs in Dearborn, Michigan (USA). The remaining 1,000 employees are working in contract positions with outside agencies, the automaker had said.
Last month, US banking giant Goldman Sachs had begun its biggest round of jobs cuts since the start of the pandemic. It aims to eliminate several hundred roles, and the reductions in headcount are a resumption of Goldman¡¯s annual culling cycle that it had largely paused during the pandemic, as per Bloomberg.
In July 2022, Goldman Sachs had said that it planned to slow hiring and reinstate annual performance reviews.
In August this year,? Snapchat¡¯s developer company Snap Inc. was said to be planning to lay off around 20% of its nearly 6,500 employees, following weeks of planning. Over 1,000 employees have been expected to be laid off in the process. As per media reports, Snap has had a difficult year, with the company missing on both revenue and earnings in the second quarter. In its Q2 investor letter of July 2022, Snap had said that it would not provide guidance for its current quarter, and said, ¡°forward-looking visibility remains incredibly challenging.¡±?
Elon Musk¡¯s Tesla was amongst the first global organizations to kickstart layoffs this year.
In June 2022, nearly a fortnight after Tesla CEO Musk expressed a "super bad feeling" about the economy and the need to cut about 10% of salaried staff at the electric carmaker company, the latter began layoffs. Some laid-off employees even confirmed the same on LinkedIn.
Also Read:?Employee Working At Tesla Since 5 Years Says He Was Sacked Over The Phone While On Vacation
In the first week of October 2022, the news of Meta ¡®quietly¡¯ laying off around 12,000 ¡®underperforming¡¯ Facebook employees came out. Meta had allegedly been rolling out "quiet layoffs" at Facebook that could result in losing thousands of jobs, at least 12,000, or roughly 15% of its workforce. Senior executives are allegedly carrying out "quiet layoffs" of underperforming employees, according to a report in Insider.
Besides Meta, Snap and Microsoft, another tech giant whose layoffs may soon be announced, is Google. Google and Alphabet CEO Sundar Pichai had hinted at the possibility of layoffs. In September 2022, speaking at Code Conference in Los Angeles, Pichai said that he wants to make Google 20% more efficient and that could include headcount cuts, i.e. layoffs. Now it remains to be seen if and when this happens.
American clothing company PVH Corp, which is the owner of famous brands such as Tommy Hilfiger and Calvin Klein, is also amongst the global giants who announced job cuts. PVH Corp, formerly known as the Phillips-Van Heusen Corporation, reportedly plans ¡°to reduce people costs in its global offices by approximately 10%¡± by the end of the next year to improve efficiency.
Another banking giant which announced layoff plans, is Switzerland¡¯s second biggest bank Credit Suisse. Last month, it was reported that Credit Suisse is considering cutting around 5,000 jobs as part of its cost reduction drive.?The second biggest bank in Switzerland dubbed 2022 a "transition" year.
As recently as last week, multiple media reports indicated that US chipmaker giant Intel Corp is planning a major reduction in headcount, likely numbering in the thousands, to cut costs and cope with a steep decline in demand in the personal computer market.
The layoffs may be announced as early as this month, with the company planning to make a move around the same time as its third-quarter earnings report release on October 27th.
Also Read:?Indian Startups Accounted For 13% Of Global?Layoffs?Since April 2022
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