Joy & Pain - Latest Job Loss News

Reuters reports that JPMorgan has made around 6,000 job offers to staff at Bear Stearns. Decisions are now said to have been made on the future of 75% of Bear's 14,000 employees. On that basis, 4,500 Bear staff have already been told that they will not have a job going forward. Around 3,500 still await their fate, but all will know where they stand by the time the takeover deal closes at the end of the month. JPMorgan CEO Jamie Dimon said Monday that he expects the integration of Bear to ultimately add between $800m - $1.1bn to his bank's profits annually.

In the meantime, New York Magazine tells us to not feel too sorry for those Bear staff who still face the axe, as many are currently being paid to do nothing. One unnamed Bear employee is quoted, saying: 'I take one call a week, maybe. Sometimes I have to, like, print something' (our thanks to wallstreetfolly for pointing out this item).

Our sources tell us that Goldman Sachs is thought to have fired some equities staff in Tokyo Monday, including some from office types. We also understand that the UBS may lay-off up between 100 - 150 employees in Tokyo, from analysts to Managing Directors. The firm is said to be working on the numbers right now.

Reuters also reports that Wachovia has told investors that it is cutting one-third of its fixed income staff and 10% of investment bank support staff. The bank is thought to have now eliminated around 25% of its investment banking staff since the credit crunch started last year.

Henry Blodget reports in his Silicon Alley Insider blog that more lay-offs are expected at Lehman Brothers next week, and that a reader told him that a US employee recently realised that he or she was for the axe upon receiving a notice of COBRA benefits and costs!

Finally, a cracker of a story in Monday's Evening Standard's CitySpy column. Apparently UBS has started to worry that it's employees are drinking too much coffee. The firm's London offices apparently have posters around the building asking: 'Are you drinking too much caffeine ?'. A UBS staffer told CitySpy that 'most of us are so bloody terrified of getting the chop, we're working every hour Gods sends. How do they (UBS) expect us to do that without heroic quantities of caffeine ?'.

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