Goldman Cuts A Little Deeper in Its NYC HQ Amid Worldwide Layoffs
New York is absorbing 20 percent of the cuts being made globally
| 26 Feb 2023 | 11:16
There is going to be a little more room at Goldman Sachs downtown HQ at 200 West St. as the company said that the home office is absorbing nearly 20 percent of its global layoffs. It quietly upped the number of layoffs at HQ last week. Photo: Flickr
Goldman Sachs is cutting a little deeper at its NYC headquarters, where 20 percent of its global layoffs are occurring.
Last month, the multi national financial giant said it was laying off 3,200–about 6 percent of its global workforce–marking its deepest cuts since the 2008-09 Great Recession 15 years ago when it also laid off about 3,200.
There were originally only 589 scheduled to be laid off in its New York office, but according to an amended WARN (Workers Adjustment and Retraining Notification) notice filed on Feb. 15, there will be 609 cuts in New York, meaning an additional 20 will be feeling the blade.
The latest cuts will come right after tax seasons ends, staring “on April 17, 2023 to the end of business on September 30, 2023,” the WARN notice stated.
They are apparently being well paid to hit the beach. In an earnings call last month, Goldman Sachs CEO David Solomon said the layoffs will require $275 million in severance payments. That works out to an average of $451,550 per employee.
He said the company is scaling back its involvement in its consumer business while seeing growth opportunities in its investment banking and financing divisions. Bonuses are reportedly being cut by 40 to 50 percent.
In the consumer business division , that included credit cards and personal loans, he said the company “tried to do too much too quickly.”
“It became clear to us in early 2022 that we were doing too much and that it was affecting our execution,” Solomon told Wall Street analysts at the time.
The company is headquartered in NYC but has a regional HQs from London to Hong Kong.
