World

Goldman cuts at least 25 bankers in Asia as China deals swoon

GOLDMAN Sachs Group Inc has started axing at least 25 bankers in Asia as a drought in dealmaking has prompted cuts across sectors, people familiar with the matter said.

The cuts span across its equity capital markets, health care and telecommunication, media and technology teams in Asia, the people said, asking not to be identified because the matter is confidential. The majority of the reductions are affecting junior level bankers involved in deals in Greater China, the people said.

“Every year globally we conduct a strategic assessment of our resources and calibrate headcount to the current operating environment,” a spokesman said in an email, without commenting on the extent of cuts. “We continue to remain flexible while executing against our strategic growth priorities.”

The reductions come after Goldman went on an unprecedented hiring spree in mainland China and Hong Kong last year as the world’s second-biggest economy opened its financial market fully to foreign brokerages and asset managers. Dealmaking in China then ground to a near halt this year as Covid lockdowns and rising political tension sapped growth in the once booming economy.

The Wall Street titan has plans for its biggest round of jobs cuts since the start of the pandemic, seeking to eliminate several hundred roles starting this month, people with knowledge of the matter said earlier. While the total number is lower than some previous rounds, the reductions are a resumption of an annual culling cycle that the New York-based bank had largely paused during the Covid outbreak. – BLOOMBERG

Dayang Norazhar

Recent Posts

C4 calls for ‘transparent’ probe on PN govt’s spending

The current administration must ensure the progress reports is publicly available and accessible, and provide…

9 hours ago

Labor shortage to cost Malaysia palm oil sector RM20b

A chronic shortage of plantation workers in Malaysia may cost palm oil producers about RM20…

9 hours ago

Saudi Arabia says China’s Xi to visit this week

Saudi Arabia said Chinese President Xi Jinping (picture) will visit the kingdom from Wednesday for a…

9 hours ago

Bosnia may be granted EU candidacy status as early as next week

European Union leaders may grant Bosnia-Herzegovina official candidacy status as early as Dec. 15’s summit…

9 hours ago

What does world economy look like through 2075? Here’s what Goldman Sachs thinks

Goldman Sachs Group Inc. economists have taken a stab at predicting the path of the…

10 hours ago

Key ASIC wins 2 contracts worth over RM26m

KEY ASIC Bhd has bagged two application specific integrated circuit (ASIC) contracts worth over RM26 million…

10 hours ago