New Delhi: America’s leading investment banking company Morgan Stanley has laid off about 2,500 people from its global employees. This number is said to be around 3 percent of the total employees of the company. According to media reports, this layoff has started from the beginning of March.
According to a report in the Wall Street Journal, this layoff has not been done due to any improvement process related to Artificial Intelligence (AI), but the reasons behind it are the company’s changing business priorities, new location strategy globally and review of employee performance.
The report said that this retrenchment has been done in three major divisions of the bank – Institutional Securities, Wealth Management and Investment Management. This has affected front-office, revenue-related positions and back-office roles, although financial advisors have been left out of the decision.
At present, Morgan Stanley has not officially commented on this report. Even before this, in spring last year, the company had laid off about 2,000 employees. Interestingly, this layoff has come at a time when the company has recorded a record annual revenue of $ 70.6 billion in 2025. A sharp increase of 47 percent was seen in the company’s income in the last quarter of the year. As of December 31, 2025, the company had a total of 82,992 employees working in more than 40 countries.
In a recently released report, Morgan Stanley had said that the long-term impact of AI on jobs may not be as serious as people believe. According to the company, some jobs will definitely be automated, but most of the employees will not be completely unemployed. Many people may shift to new types of jobs, some of which don’t even exist yet. The bank believes that AI will change the way work is done, but will not eliminate jobs completely.
Meanwhile, payments company Block, founded by Jack Dorsey, has also recently announced to reduce its workforce by almost half due to AI-related changes. The company plans to reduce its employee count from 10,000 to around 6,000.
Many tech industry experts believe that most computer-based white-collar jobs may move toward automation in the next 12 to 18 months. According to reports, Amazon has also laid off employees in its robotics division, with at least 100 white-collar jobs affected. Earlier in January, the company had cut about 16,000 jobs. At the same time, American tech company Oracle is also planning to lay off 20,000 to 30,000 employees to increase its AI data center capacity.
Comments are closed.