US: Major banks lay off employees en masse

SGGP 10/21/2023 06:38

According to CNBC news agency, a report said that the five largest banks in the US have cut a total of 20,000 jobs in 2023.

The decision comes two years after the Covid-19 pandemic, when demand for staff exploded as Wall Street ramped up its operations. The hiring spree then tapered off after the Federal Reserve raised interest rates to cool an overheating economy, leaving banks feeling overstaffed amid a less-than-stellar business environment.

Chris Marinac, research director at Janney Montgomery Scott Financial Company (USA), said that banks have to cut labor due to uncertain growth prospects in 2024.

Financial sector layoffs could put pressure on the U.S. labor market. But banks are still expected to cut jobs more aggressively next year, given the growing risk of defaults on corporate and consumer loans.

Source: https://www.sggp.org.vn/my-ngan-hang-lon-sa-thai-nhan-vien-hang-loat-post710696.html