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Reports: Goldman Sachs prepares for layoffs amid worsening economic outlook

Earns Goldman Sachs
Posted at 4:08 PM, Sep 14, 2022
and last updated 2022-09-14 16:08:46-04

Financial giant Goldman Sachs is reportedly expected to lay off workers, with some reports estimating redundancies could reach into the hundreds for employees there.

As the BBC reported, while company leadership declined to comment on the situation, the company's chief financial officer did confirm a change in hiring.

CFO for Goldman Sachs, Denis Coleman, said, "We have made the decision to slow hiring velocity."

The bank said it might have to cut expenses amid a worsening financial environment in the U.S. and worldwide. The company reported a 48% drop in second-quarter profits citing inflation worries and clients hesitant to invest more.

For context, Reuters reported that the Wall Street giant usually cuts some 1%-5% of its underperforming staff annually. The cuts expected in 2022 will reportedly end at the lower end of that range.