Morgan Stanley plans to cut 1,600 jobs in its investment banking unit, roughly 6 percent of staff in that unit, with employees being informed about job losses beginning this week, a person familiar with the matter said on Wednesday.
The cuts will affect traders, salespeople, and bankers in Morgan Stanley's institutional securities business as well as support staff, the source said.
This round of job cuts comes in addition to a 6 percent reduction in the investment bank workforce in 2012, said the source, who was not authorized to speak publicly about the matter.
About half of the job cuts will occur in the U.S., with the rest affecting international units, said the source, adding that all levels of staff will be affected, with an emphasis on more senior employees.