Finance industry jobs dwindle

The largest US financial services firms are slating job cuts in 2012, adding to nearly 50,000 industry positions that were eliminated as a result of the late-2000s recession.

Goldman Sachs, Morgan Stanley, and Credit Suisse are among the firms reportedly reducing their headcount as the fallout continues from years of risk-bundling, synthetic investment vehicles, and other unsustainable profit schemes, according to MarketWatch. European debt troubles, a shaky domestic mortgage market, and impending regulatory reforms additionally continue to influence hiring reluctance.

In New York, fewer than half the finance jobs lost during the recession have been recovered, and some job candidates report spending up to two years searching for new industry opportunities.

“For those laid off during the recession, finding work can take a long time,” wrote Polya Lesova in MarketWatch. “One 47-year-old professional, who spoke to MarketWatch on condition of anonymity, said he was unemployed for more than two years. He’d been working in New York for a specialist broker dealer, owned by a European bank, until January 2009, just two months before the U.S. stock market hit a 12-year low. He didn’t land another job until April 2011.”

Bad news for the finance sector. Perhaps new finance grads and out-of-work pros might find a friendlier hiring climate in the regulatory sector.

Lee Simmons

Lee Simmons is a business writer in Austin. He covers the technology and media industries for Hoover's and offers random musings on the state of entertainment (among other pressing issues) for Bizmology. Follow him at Twitter.

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