The Guardian reports that over 10,000 financial services / markets jobs are expected to be cut in the City (London) this summer as the current market crisis deepens. The job losses will come at banks and insurance companies in the main.

Bloomberg reports that, according to 'two people with knowledge of the situation, SAC Capital Advisors is to shut its US-based Sigma Capital Management LLC debt business with the loss of up to 8 jobs. The news agency also reports that Citi's distressed-debt team is to be broken up, with unit leaders Jeff Jacob and John Humphrey setting up a hedge fund later in the year. 6 or 7 of the 20-person team is expected to go with them.

The Wall Street Journal reports that, according to a report published by Cerulli Associates, the number of financial advisors practicing in the US has fallen by 3,000 in the last four years, and stood at 298,697 as at the end of 2007.

The Globe & Mail reports that Bank of Montreal is to axe 150 of its 2,400-person securities unit, BMO Nesbitt Burns. Staff are being let go in debt and M&A. Rival CIBC is said to have culled 100 staff in its World Markets division.

The Financial Times reports that some bankers are suggesting that firms have been axing staff like crazy as they want to be done by the end of June in order to avoid employee lawsuits that they have been chopped over halfway through the year and received no bonus. But, as the newspaper points out, banks can and will fire people at any time of the year. Bear Stearns let people go 3 days before year-end last year. That's the name of the game. Staff are being laid-off now not because firms fear lawsuits if they wield the axe in the second half of the year. They are being chopped because of asset writedowns, under pressure revenues and falling profits. And, anyway, do you really think that staff are gonna walk away with much in bonuses this year-end ?

Finally, the newspaper also reports that Citi is overhauling its bonus scheme for top managers to tie pay-outs more in line with the general performance of the company rather than specific business units. Citi is following the likes of Goldman Sachs and Merrill Lynch in this regard.

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