Goldman Sachs plans to cut about 3,260 jobs, a source familiar with the matter said today.
That represents about 10 per cent of the total staff of the New York-based bank, the source said.
The bank has so far suffered the least damage in its peer group in the global financial crisis and it remains the leading adviser to mergers and initial public offerings worldwide.
But its transition from an investment bank to a traditional bank holding company means the Federal Reserve will use its new regulatory authority to limit the bank's risk taking and encourage longer-maturity funding.
Analysts expect Goldman to shrink businesses in prime brokerage and securitisation.
In June, Goldman laid off hundreds of support staff and junior bankers due to slowing markets following a round of cuts in leveraged lending and mortgage securities jobs in April.
The company had 32,569 employees worldwide at the end of August. Compensation and benefits accounted for 57 per cent of its total operating expenses in the three months ended August, down from 67 per cent in the second quarter and 73 per cent a year ago.
Reuters