Employees are said to be expecting something resembling a massacre tomorrow around 10 or so, depending on when people roll into the office. Read more »
According to Meredith Whitney, banks will be cutting another 100,000 employees in the near to very near future. [Bloomberg]
UBS is said to be embarking on a “fresh round of cuts” in the investment bank, starting with employees big and small in Europe. Read more »
Cuts are said to be coming in the near-ish future. Read more »
Louis Bacon Recruits Brother To Have Tough Conversations With Employees Re: The Fact That They No Longer Work At The FirmBy Bess Levin
One thing you may or may not know about hedge fund manager Louis Bacon is that he likes to keep his human interactions to a minimum. It’s not a personal thing, just people in general thing. He doesn’t like ‘em and he doesn’t want to talk to or look at ‘em. For example, rather than taking five minutes to tell a subordinate he disagrees with a trade idea, Bacon has been known instead to “retreat to his office and place an opposing trade, a tactic known as ‘fading’ a colleague.” Clients are treated similarly (“During meetings with…investors, Bacon, who often draws the blinds in his private office, frequently turns to his lieutenants to answer questions, often sitting silently through presentations”) and if you thought that being, say, the fruit of his loins meant special treatment, you were sorely mistaken (“One longtime assistant negotiates annual spending allowances with the elder of his children individually…Once they’ve agreed on the number, the assistant invites the child for a sit-down meeting with his or her father, during which Bacon usually signs off on the terms”). So it probably did not come as much of a surprise when LB hired his brother, the improbably named Zack Hampton Bacon III, to speak with a dozen or so members of the staff re: security waiting to escort them out of the building. Read more »
The Germans are “going on a diet” that will involve a “painstaking, methodical, meticulous approach to boosting efficiency” and “very significant streamlining” in the investment bank and no one, not even the people hiding out in Chicago are safe. Read more »
In addition to cuts in the Industrials; M&A; Real Estate, Gaming, Leisure & Lodging; and Leveraged Finance, the bank’s converts desk was said to be “gutted,” losing at least five Managing Directors and a few analysts. On the bright side, today was expected to be the last day of layoffs for the foreseeable future.