Outlook Business Desk
Major Companies are preparing to reduce their workforces in 2025 to cut costs and streamline operations as artificial intelligence gains influence and uncertainty grows over US President Donald Trump's economic policies.
According to Bloomberg, Morgan Stanley plans to lay off around 2,000 employees in late March, reducing its workforce by 3%. The cuts may exclude financial advisers.
Amazon is set to cut around 14,000 managerial positions aiming to save approx. $3 billion annually, according to a Morgan Stanley analysis from 2024. This move aligns with CEO Andy Jassy's goal of increasing the ratio of individual contributors to managers by 15% by Q1 2025.
Reuters reported that Goldman Sachs also plans to reduce 3-5% of its workforce as part of its annual performance review.
Intel's incoming CEO Lip-Bu-Tan is considering an AI strategy renovation that could affect bloated middle management. This decision follows the company's $19bn loss in 2024.
Recently, Bank of America eliminated approximately 150 junior banker positions, with most affected employees being offered roles outside investment banking.
Several reports indicate that Workday Inc. plans to cut 8.5% of its workforce affecting 1,700 employees.
In February, reports emerged that Salesforce would lay off over 1,000 employees in its first major workforce reduction of 2025.