Global banks cutting jobs in big numbers

Global banks have announced close to 50,000 job cuts in recent months, withsome expected to extend into 2012. The largest bank of the US, Bank of America is working on a broad restructuring plan. The bank which has lost more than $22 billion on its consumer mortgage division in the last four quarters plans to cut 3500 staff this quarter which will be spread across the bank’s business including investment banking and trading. The company-wide retrenchment at Bank of America is being touted as a part of a drastic turnaround effort by Brian Moyniha, the CEO. The planned job cut is in addition to the 2500 cuts that have already occurred earlier this year. Bank of New York Mellon Corp. also plans to cut around 1500 jobs. Low interest rates and a sluggish economy has provided the bank very few opportunities for revenue growth and hence the bank has been forced to opt for expense cuts. Bank of America joins Barclays Plc and Credit Suisse Group which are cutting investment banking profesionals as they grapple with reduced revenue.