Goldman's Blankfein Demands Deepest Cost Cuts in Years
- Push includes firings, travel limits; more measures possible
- CEO: `We can do a lot more on the cost side if we have to'
Goldman Sachs Said to Seek Deep Cost Cuts
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Goldman Sachs Group Inc. is embarking on its biggest cost-cutting push in years as it tries to weather a slump in trading and dealmaking, according to two people with knowledge of the effort.
The firm, already expected to report a steep drop in expenses for the first quarter, recently began dismissing more support staff and is increasingly rejecting bankers’ spending on airfare, hotels and entertainment unless it directly serves clients, the people said. For example, the company cut technology workers in London this week, one person said, and some employees in Europe aren’t being permitted to take once-routine trips to other offices in the region, said another. Additional cuts are likely.