To talk to fixed income recruiters in London, you'd think Barclays investment bank was in the middle of a bloodbath.
"It's awful there," says one. "Whole swathes of people are being cut. 20 at a time, or more. People are in shock."
This week's speech by Tom King, chief executive of the investment bank, seemed to bear this out. King said 2,700 jobs have been cut from the investment bank since mid-May, suggesting that around 45 people are being removed every working day. Fixed income bankers are worst affected, said King, but equities bankers are being trimmed too. On the other hand, investment bankers, who are part of an 'integrated origination vertical' are mostly safe.
In theory, the job cuts at Barclays should show up most clearly in London. This, after all, is where Barclays' fixed income salespeople and traders are concentrated. Weirdly, however, the Financial Conduct Authority (FCA) register shows that Barclays has only dispensed with 174 registered individuals in London since the May strategy announcement - just 6% of the total number of people that King says have been let go.
Barclays didn't return a request to comment on its layoffs. We have therefore been forced to reach several conclusions of our own. And they are:
- Barclays' redundancies are focused upon junior staff who aren't registered with the FCA.
- Barclays' redundancies are happening outside the UK - especially, we suspect, in Asia and continental Europe.
- Barclays' redundancies are mostly in the back and middle office.
Your suggestions would be much appreciated. In the meantime, it's worth noting that Barclays has lost one senior fixed income trader in the past month: Mike Osman an inflation trader who'd been with the bank for a decade at least is there no longer.