US's Largest Banks to Cut Over 11,000 Jobs in 2023

US's largest banks will cut over 11,000 jobs in 2023 as Wall Street faces its worst hiring market since the financial crisis following the pandemic influx, reports The Financial Times.

Citigroup Corporation announced this week that it plans to lay off 5,000 employees by the end of the second quarter of 2023, primarily in investment banking and trading sectors. Goldman Sachs, which cut about 6% of its workforce in January, plans to eliminate another 250 executives. Morgan Stanley is set to lay off around 3,200 individuals, or 5% of its staff.

The pandemic has disrupted traditional ways of doing business through remote work. After the end of the pandemic, banks aggressively increased their headcount to cope with a surge in transactions. Now, through layoffs, bank executives are attempting to reduce this influx.

“This is probably one of the toughest job markets since the financial crisis of 2008,” said Max Kemenitzer, Managing Director of Banking and Financial Services at Michael Page in New York.

As of March, the five largest banks on Wall Street—JPMorgan Chase, Bank of America, Morgan Stanley, and Citi—together employed a record 882,000 individuals worldwide.