Goldman Sachs has told employees it is preparing a “limited reduction in roles” as part of a company-wide restructuring, Bloomberg reported, citing a memo sent to staff.
The memo, signed by chief executive David Solomon, president John Waldron and chief financial officer Denis Coleman, outlined a new strategy called “OneGS 3.0.” It said the Wall Street bank would “constrain headcount growth through the end of the year” while still expecting to finish 2025 with a net increase in employees.
As of 30 September, Goldman Sachs employed around 48,300 people globally, nearly 2,000 more than a year earlier, according to Bloomberg. A spokesperson for the company confirmed that Goldman intends to end the year with an overall increase in staff despite the reductions.
The executives said the strategy would integrate artificial intelligence into operations, describing it as a multiyear effort. AI will be applied in client onboarding, lending, regulatory reporting and vendor management. “Our operational efficiency goals need to reflect the gains that will come from these transformational technologies,” the memo said.
Chief Information Officer Marco Argenti said thousands of Goldman employees are already using the firm’s AI Assistant to support productivity.
Goldman reported $15 billion in revenue and earnings per share of $12.25 for the July-to-September quarter, exceeding analyst expectations. The bank also recorded $2.66 billion in investment banking fees.
Earlier in 2024, Goldman reduced its workforce by about 700 through routine adjustments, Bloomberg reported. Other large banks are also cutting staff: Morgan Stanley is eliminating around 2,000 roles, or 2.5% of its workforce, under chief executive Ted Pick.
The “OneGS 3.0” programme sets out six priorities, including improving client experience, enhancing profitability, driving efficiency, strengthening resilience, enriching employee experience and bolstering risk management.