JPMC is shopping for larger financial acquisitions , requirement is that BONY must reduce their workforce down to 50%, as of now they are done 10-15% next will be 35-40% lay-off.
HSBC 35,000 and Deutsche bank 18,000. Bye now this not new to anyone. Be prepare to face the nightmare ahead.
23 replies (most recent on top)
@3zoc+13HkbG3n .... For myself I eliminated 50% of the humans that used to provide me with personal services. It had nothing to do with technology. It was when i got divorced.
Technology at the Bank has not yet been developed to eliminate 10%, let alone 50%, of the humans nor is there any sign that it will be.... witness 2 years of the digital debating team. That’s why displacements are being matched with extended shifts and extra hours for exempt staff.
Perspective people: 500 people is a 1% layoff.
500 is not a lot especially with all the locations we have. Heard they are closing & combining locations.
I heard 500 this week starting March 2. After decades of hard work here but getting poor reviews now I’m ready to move on and out
I've been saying this since before Charlie. Headcount going to 25-30k. Look at your own life. If technology has eliminated 50% of the humans that used to provide you with personal services guess what! The same thing will be happening at bnym. As usual no managers will cut head count unless they are absolutely forced to. Bnym peers are doing just that. Bnym managers will not last long by barely growing revenue and bucking the trend.
Jpmc would not be allowed to acquire bny. Tbtf Sifis not allowed to merge.
Digital bank simply means that processes and procedures done by hand are automated. This is not even close to AI, but the Bank is not even close to being at that level. We ceased to keep current on technology in the 70’s. Barely got to 80’s Client Server in the mid-late 90’s. Got to transactional web sites in 15 years late in the 2000’s by purchasing all or parts of two major banks and three startups a decade after their tech was hot. Instead of learning from the superstars which came with the deals we micro-mismanaged them and they left.
So we really haven’t done much in the past 50 years beyond patch and resuscitate old systems and try our best to connect them to others which we buy. There are no green ledger paper and old guys with eye shades, but our systems are the modern digital equivalents of them.
Look at Greenfield... all that money to move old applications to fresh modern platforms Not one penny of it went to improve the business value of what the applications actually do, let alone automating operations tasks to improve quality and lower people costs.
Oh yeah, CFO magazine ... just the resource by the .1 % to tell the 99.9 % how to 'upskill' themselves up to 'their' level. 'Minimal human resources' and 'automation of operations'? ... again, what have we been doing for the past 50 years? Where does AI come into play in banking? ... it's not live driverless cars where true AI is needed. Mostly it is automation of transactions. The only real AI I can see is wealth management services and even then a human ultimately needs to make decisions.
My definition of a digital bank are outfits like Ally, Marcus, etc ... you can actually get 1.7% on your savings instead of basically nothing from Chase and Citibank. They're real banks but have no physical branches.
To 2whw+13HkbG3n:
Digital Bank: A financial institution employing minimal human resources and utilizing artificial intelligence with automation of operations.
Per CFO magazine, finance professionals will NEED to reskill and upskill in the next two to five years in order to stay relevant.
If you hate change, you will hate irrelevance even more.
- Charlie "Chainsaw" Scharf
The guy wrote JPMC acquisition requirement. If BNY is failing and surrenders to JPMC, then this is what we should be expecting to see happen. Who knows what is going on internally?
Define 'digital bank' please. I'm tired of hearing that phrase. What have we been doing the past 50 years? ... it's not like the place is still run by guys with green ledger paper and eye shades, there's been plenty of 'digitization'. To me, the phrase is a smokescreen just to get rid of people.
BNYM is transforming to being a digital bank. Tech spend 5B this year, and at least that next year. Layoffs to continue in order to fund the tech spend, FACT!
Numbers of reductions already achieved by OP are totally factually incorrect and posted for reasons of pure hysteria. I seriously question the “stated goal” of workforce down to 50%, but I can factually state that they have not achieved anywhere near 10-15%. The max in past two years is perhaps 7 to 8% tops. And hype of next wave being “35-40% lay-off” is ludicrous.
People should be sharing information on this site, not false hysteria.
There is no 50% reduction unless they plan to break up the bank and sell part of it to JPMC. The JP rumor has been just that for many years. 30% reduction over 3 years has been a correct mandate to managers that is being achieved, in part through BE forced rankings whether deserved or not. We saw 10% reduction last year, are on track for 10% this year, and 10% in 2021. These are the forecast reductions shared with management
13HkbG3n ... BNYM is very diverse. Anyone regardless of their ethnic background, race, gender or orientation is free to be as incompetent as possible as they make their way through the ranks. We do NOT discriminate!
I could envision a 10 Percent layoff. We are very top heavy. It's about time to layoff all these managers we have.
Spot on!
BNY Mellon only employs roughly 50,000 employees. That DB and HSBC can cut that many jobs says nothing to the number of jobs that BNY may or may not eliminate. Those banks employ far more people and have been spinning off business lines over the past 1-2 years, example being DB’s US based commercial and investment banking presence, therefore largely retreating to EMEA and allowing for the eventual elimination of those US based jobs. They’re a German bank and they’re bringing their business back home. BNY Mellon literally couldn’t operate if it cut 50% of its workforce. Think objectively about this. We are an operations-heavy bank, and until digitization really transforms the business, there will be a need for humans at the desk. Obviously as digital advances and things become automated we will let people go, but it will be a very slow process and the bank would fold if those people were cut overnight.
I want to nominate myself so I can have several weeks of vacation after the layoff.
Can we nominate some of the worthless workers around us for the this massive huge layoff.?
Yawn.....you're a toolbox!
And headcount isn't really going down. They are laying off hard working Merican's and taking our jobs! Most will be moved to India and Poland
Where is this 50% reduction number coming from?? Facts, people.