Layoffs are said to have gone down at DE Shaw about an hour ago, with the quants getting prettay prettay prettay creative about how they told people to walk out the building and not come back. The reception desk was apparently closed with a "hastily printed sign claiming there was construction, even though there was none to speak of, so that visitors wouldn't be exposed to the crying employees in the conference rooms that flank the front desk." About half the 30-man recruiting department was placed in one room, half in the other. Behind door number one: a group of people who told they were being fired, to get their stuff and hit the bricks immediately following an HR interview. Behind door number two: a group of lucky people told they get to keep their jobs, for now. Supposedly no one else at The Shaw was told anything about the axings, or whether or not more are planned.
No comment from DES at this time.
Update: A spokeswoman for DE Shaw confirmed the layoffs, though emphasized that the cuts did not affect front office, and said that the firm views the decision as "a result of efficiency right-sizing analysis." She also told us that DE Shaw is "still growing," as it relates to both assets and humans ($30 billion AUM as of June 1, and accepting resumes daily).
Posted by guest , Jun 09, 2009 3:41PM
Swift, silent and merciless. Nice!
Posted by guest , Jun 09, 2009 4:07PM
I still like the fire alarm trick
Posted by guest , Jun 09, 2009 4:07PM
Is it possible to get Greg hired on at DE Shaw in time to be laid off?
Posted by guest , Jun 09, 2009 4:08PM
the prettay prettay prettay put me in the mood for a ted danson
Posted by guest , Jun 09, 2009 4:09PM
I still like the fire alarm trick
Posted by guest , Jun 09, 2009 4:10PM
I still like the fire alarm trick
Posted by guest , Jun 09, 2009 4:12PM
I still like the fire alarm trick
Posted by guest , Jun 09, 2009 4:12PM
Wow! just like American Idol.
Posted by guest , Jun 09, 2009 4:13PM
I still like the fire alarm trick
Posted by american bandersnatch , Jun 09, 2009 4:14PM
They should have got Norm Peterson to do it. He was the master.
Posted by guest , Jun 09, 2009 4:15PM
does anyone like the fire alarm trick...anyone at all?
Posted by Anal_yst , Jun 09, 2009 4:17PM
wtf did they have 30-man recruiting department for??!!
Posted by guest , Jun 09, 2009 4:17PM
WTF is the fire alarm trick?
Posted by guest , Jun 09, 2009 4:22PM
ANUS!
Posted by guest , Jun 09, 2009 4:35PM
@12
As evidenced by the firings, I think they were asking the same question.
Posted by guest , Jun 09, 2009 4:45PM
#11 - Yes, I still enjoy the fire alarm trick. Why do you ask?
Posted by guest , Jun 09, 2009 4:47PM
They are looking for people- my recruiter submitted my resume last week, waiting to hear back from them- not really optimistic about my chances though (no phd or $40k+/year degree). High Frequency trading/technology background in automated market making.
My $.02
Posted by guest , Jun 09, 2009 4:50PM
They are looking for people- my recruiter submitted my resume last week, waiting to hear back from them- not really optimistic about my chances though (no phd or $40k+/year degree). High Frequency trading/technology background in automated market making.
My $.02
Posted by guest , Jun 09, 2009 4:54PM
@17, I think 14 is hiring
Posted by guest , Jun 09, 2009 4:56PM
@17/18
They accept resumes daily because you send them in over the internet. It doesn't mean they actually consider them.
-Nominate me*
*no phd and school only cost $18,000/yr
/received the "we'll keep you on file" email Friday
Posted by Investorcluzo , Jun 09, 2009 4:58PM
@17/18 - my $0.02=> if you're double posting here, it's quite possible that it's not your lack of $40k+/year degree that isn't getting you the call back...just sayin'
seems to me that you can't really "reject" a resume that comes over the transom (it would be too tedious). it just comes to you via email or mail. so you "accept" it (and put it in the "circular" file). those crafty IR folks...
Posted by guest , Jun 09, 2009 5:05PM
[Day, interior Conference Room of DE Shaw, KRAMER's in w/LELAND. LELAND's a greying man.]
KRAMER:
What did you want to see me about, Mr. Leland?
LELAND:
Kramer, I've.. been reviewing your work.. Quite frankly, it stinks.
KRAMER:
Well, I ah.. been havin' trouble at home and uh.. I mean, ah, you know, I'll work harder, nights, weekends, whatever it takes..
LELAND:
No, no, I don't think that's going to, do it, uh. These reports you handed in. It's almost as if you have no business training at all..I don't know what this is supposed to be!
KRAMER:
Well, I'm uh, just--tryin' to get ahead..
LELAND:
Well, I'm sorry. There's just no way that we could keep you on.
KRAMER:
I don't even really work here!
LELAND:
That's what makes this so difficult.
Posted by guest , Jun 09, 2009 5:06PM
@20- I didn't click on a link on their website- my recruiter told them about my background and submitted a resume, they sent me back some application type form asking me what my GPA was, what papers I have published etc. and now I am waiting to hear back. Like I said, not really expecting to move forward there, but I am not some naive intern clicking on the website's submit button and telling everyone I made it past the first round :).
Posted by guest , Jun 09, 2009 5:10PM
@23 so......what are you then?
Posted by guest , Jun 09, 2009 5:21PM
@3 - Children (i.e.; interns)should neither be seen or heard from - ever again.
-W. C. Fields
Posted by guest , Jun 09, 2009 5:32PM
They are anal about GPA. If you are under 3.8 gpa, don't bother applying. And if you are super good, you could find better paying places to work at.
Posted by guest , Jun 09, 2009 5:43PM
can anyone post their track record?
Posted by guest , Jun 09, 2009 5:55PM
I'm a hedge fund manager from Greenwich; is AUM "Ass Unto Mouth?"
Thanks.
Posted by guest , Jun 09, 2009 6:14PM
Too macabre, did not read.
Posted by guest , Jun 09, 2009 6:25PM
@28- yes, Steve, that's exactly what it is.
Posted by guest , Jun 09, 2009 6:28PM
I heard significant (40-50%) redemptions last quarter from main funds.
Posted by guest , Jun 09, 2009 6:31PM
@31- come, on really? if that's legit email Bess!
Posted by guest , Jun 09, 2009 7:26PM
"a result of efficiency right-sizing analysis."
wow
Posted by guest , Jun 09, 2009 8:45PM
If they actually said that I'd be shocked.
On second thought if the alternative is, "we are a bloated whale on the beach bleeding cash. Have you seen that video where they blow up a whale? That's us."
Perhaps the hackneyed cliché approach is better.
Posted by guest , Jun 09, 2009 8:46PM
@34- "If they actually said that I'd be shocked. "
color you shocked, I guess.
Posted by guest , Jun 09, 2009 8:48PM
@23 - They provide this sheet for everyone that applies to D.E. Shaw. It's an automated process, so your recruiter might very well be just submitting your resume through the HR e-mail system on a job posted on some alumni website...
Posted by guest , Jun 09, 2009 10:45PM
The classic two room layoff strategy - the keepers and the weepers. Amazing to see that some things never go out of style.
- Fixed Income
Posted by guest , Jun 09, 2009 10:57PM
@37- but what's the point? why not just pull the people you're going to fire into one room and fire them, and let the people you're keeping continue working at their desks?
Posted by guest , Jun 09, 2009 11:00PM
@38 - I agree with you. Just highlighting the stupidity of HR - not very bright people adding drama where it isn't needed.
- Fixed Income
Posted by guest , Jun 09, 2009 11:45PM
DES, blow up and die.
Posted by guest , Jun 10, 2009 12:50AM
@31, that isn't true. It's public knowledge they invoke a gate. They can't lose more than ~10% per quarter to redemptions.
I heard from a friend who was in the "keepers" room that the managing director who ran that meeting called it to tell them that he just wanted them to know that "David still considers recruiting THE most important department in the firm"--as literally half their coworkers were being laid off a few feet away.
My friend said it was obvious that the real reason the MD called that "keepers" meeting was so he would have an excuse not to get his hands dirty with the firing, a task he delegated to the two flunkies who ran the "weepers" meeting.
Once the "weepers" were safely out of the building, the MD threw a pizza party for the "keepers" and told them all to go home early. For real.
Posted by guest , Jun 10, 2009 12:55AM
"Once the "weepers" were safely out of the building, the MD threw a pizza party for the "keepers" and told them all to go home early. For real."
come on, seriously? wtf?
Posted by guest , Jun 10, 2009 1:00AM
Is "pizza" still code for Cristal and strippers...?
Posted by guest , Jun 10, 2009 2:03AM
According to my friend who was there, the pizza thing is 100% true. The MD got them all pizza, told them they were going to be assigned new roles, and sent them home. FWIW this MD is, my friend says, roundly despised by the department. He apparently works two days a week (like Larry Summers did, I guess) and freaks everyone out by being crazy-cheerful and sunny while the roof is caving in.
Posted by guest , Jun 10, 2009 9:02AM
I hear its an automatic in for anyone who has banged the Hedge Fund Hottie - A. Grad.
Posted by guest , Jun 10, 2009 9:55AM
@26 - couldn't agree more
Posted by guest , Jun 10, 2009 10:15AM
I smell BS. A pizza party? DE gets catered breakfast, lunch and dinner. why would anyone think free pizza would excite anyone
Posted by guest , Jun 10, 2009 11:35AM
hey hey hey reuters gets in on the ripping off DB fun!
http://www.reuters.com/article/etfNews/idUSN1043495820090610
Posted by guest , Jun 10, 2009 12:15PM
DE does not get catered breakfast, lunch, and dinner.
Posted by guest , Jun 10, 2009 1:04PM
@41 - this is @31, it's true that DE Shaw has a gate (6.25%-8.33% per quarter depending on the fund) but the point is that investors are still clamoring for the door as redemptions have continued to go up on a percentage basis. There is a lot of frustration that they can only get a tiny percentage of their money out at one time...
Posted by guest , Jun 10, 2009 1:07PM
@41 - #31 here - it's true that DE Shaw has a gate (6.25%-8.33% depending on the fund) but the point is that investors are still clamoring for the door as redemptions have continued to increase on a percentage basis.
Investors are clearly frustrated that they can only get a tiny percentage of their money out at one time.
Posted by guest , Jun 10, 2009 3:21PM
@50/51 - You are absolutely right that they are clamoring for the door. But they can't get more than a toe through it at a time. Frankly I don't know why anyone would every invest in a fund that forces you to wait as much as FOUR YEARS to take all your money out. What's funny is as recently as 18 months ago DES could afford to be picky and turn away investors with $5M+; now they'll lick the boots of any investor who has even $1M to offer. Remember, they were at $39B last year.
Posted by guest , Jun 11, 2009 10:37PM
@38 - You put the keepers in their own room to separate them from the weepers who are gathering their things, cleaning their desks and leaving. Less awkward that way.
Posted by guest , Jul 11, 2009 1:37PM
I've heard that one of the MDs said that these layoffs did nothing for the shareholders/investors financially and that it was a total BS move. Very non-DESCO. Where is the firm's culture headed, I wonder?
Posted by guest , Aug 25, 2009 3:57PM
Given the cuts didn't involve the front office, why does anyone care?