Citigroup and Barclays cut hundreds of employees as layoffs ramped up Wall Street.

As Wall Street grapples with sharp declines in revenue and dimming prospects for next year, Citigroup and Barclays have cut advisory and trading personnel this week. New York-based Citigroup laid off approximately 50 trading personnel this week, according to individuals with knowledge of the layoffs who declined to be identified. Bloomberg reported Tuesday that the firm also cut dozens of banking positions due to a slump in deal-making activity. According to someone familiar with the matter, approximately 200 positions were cut across Barclays’ banking and trading desks this week.
The industry has returned to an annual tradition that has defined life on Wall Street for many years: laying off employees who don’t perform. The practice, which had been on pause the last few years amid a boom in deals activity, returned after Goldman Sachs laid off hundreds of employees in September. As shallow as they are, particularly when compared with far more extensive cuts made by tech firms such as Meta and Stripe, the moves may only be the beginning of a trend if capital markets remain stagnant. According to SIFMA data, equity issuance plunged 78% this year through October as the IPO market remained mostly frozen. With the Federal Reserve raising interest rates, debt issuance has also decreased, declining 30% through September.