US: Major banks lay off employees en masse

SGGP October 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 human resources exploded as Wall Street ramped up its operations. The hiring spree then tapered off after the US Federal Reserve (FED) raised interest rates to cool the overheating economy , leaving banks feeling overstaffed in a less-than-optimistic 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 US labor market. However, with the risk of defaults on business and consumer loans rising, banks will still cut staff more aggressively next year.

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