Layoffs Watch ’14: Barclays Has A Plan

In addition to the 12,000 aforementioned cuts, the Brits will be handing out an addition 7,000 pink slips between now and 2016.

Barclays under pressure to boost returns, will eliminate 7,000 jobs at its investment bank, about a quarter of the total, and signaled its effort to build a global bank is over. Chief Executive Officer Antony Jenkins’s plan will bring the number of jobs to be cut across the firm by 2016 to 19,000, including the 12,000 the lender said in February it would eliminate this year. Barclays will create a bad bank to dispose of 115 billion pounds ($195 billion) of assets, including its European consumer arm. The investment bank will primarily target the U.K. and U.S., and serve fewer clients, while its Asian unit will be “more focused,” Jenkins told reporters today.

Barclays to Cut 7,000 Jobs at Investment Bank by 2016 [Bloomberg]

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11 Responses to “Layoffs Watch ’14: Barclays Has A Plan”

  1. Captain Oblivious says:

    Um who will be left the ops guys and the night time cleaning staff? May as well shut the doors for chrisakes…

  2. fired. says:

    not sure how many retail banks there are in the UK, but it looks like you can sure as shit add barclays to that list.

  3. St. Copious says:

    Someone explain to me the strategy behind announcing an epic number of layoffs and making clear that they will happen over "several years." You're basically telling everyone in the place, including (especially) the ones you need to retain, to go get new jobs or run the high risk of hanging around and getting fired.
    Of course the best people will have the easiest time leaving, which then yields not a "slimmed down" investment bank but a hollowed out shell of one.

    • Barnaby Jones says:

      How many people out of 19K do you think will have an "easy" time leaving? You are obviously unfamiliar with the current economy and/or job market. Maybe St Copious is St Gasparino?

    • Guest says:

      They announced the plan because the market and British government have been demanding a plan to reduce costs from Barclays. This gives Barclays breathing room from both. Likely, internally there is a bit more clarity on what groups will be hit hardest and which will be relatively safe. Also you can sort of figure it out from looking at some recent management restructuring: Fixed Income is largely screwed, mainland Europe and Asia are largely screwed, US and London origination/advisory and compliance roles should be relatively OK.

      Firing 19,000 people takes time, especially when a larger number of them are based in employee friendly Europe. For those that are phased out, giving them time to look elsewhere isn't a bad thing. You're right that Barclays will have to work hard, either through communication, employment contracts, or bonuses, to retain the people they really want to keep and convince them they aren't part of the 19,000…but it's perfectly logical to announce this in advance.

  4. Simon Cockswell says:

    The place has sucked since the Lehman integration. The majority of the US employees are have already engaged in, or are assuming their new roles as we speak: Rearranging deck chairs on the Titanic.

  5. Not BarCap Employee says:

    -BarCap Employee

  6. Gekkro says:

    Because retail under ants was such a raging global success with zero regulatory problems … Anyone with balls would have sold the IB in one go, instead of running it down and bleeding it down to nothing. Look fir a mid size retail bank to be sold in 18-24 months time to German/Spanish/Chinese bank with deep pockets and guts.