NEW YORK, May 5 (Reuters) – Morgan Stanley (MS.N: Quote, Profile, Research) said on Monday it intends to cut about 5 percent of its staff this year, mostly in the United States but excluding its retail brokerage force.
Morgan Stanley, which has slashed some 3,000 jobs since October, had 47,050 employees at the end of February. Excluding about 8,500 financial advisors worldwide from the wealth management division, a 5 percent reduction would affect roughly 2,000 jobs.
“We are constantly evaluating business conditions to ensure we are right-sized for the environment,” the company said in a statement.
Morgan Stanley's turnaround under Chief Executive John Mack took a turn last year as mortgage securities trades backfired and contributed to a $3.6 billion fourth-quarter loss. The bank sold $5 billion in capital to China's state-owned investment fund and has cut mortgage, investment banking and other jobs. (Reporting by Joseph A. Giannone)