Goldman Sachs CEO warns of impending job cuts amid economic downturn

Goldman Sachs is preparing for more job cuts in the near future, according to CEO David Solomon.

“We are carefully reviewing and while discussions are still ongoing, we expect our downsizing to take place in the first half of January,” Solomon explained in a year-end memo to employees, reported. Bloomberg Wednesday.

“Various factors are impacting the business landscape, including tighter monetary conditions that are slowing economic activity. For our leadership team, the focus is on preparing the business for these headwinds,” he added.

In May, Goldman Sachs said President Joe Biden (D) would have to cut about $100 billion from citizens’ wages by importing millions more foreign workers, Breitbart News reported:

The long-awaited 1.25% cut in American wages would take $137 billion out of voters’ wallets, every year, in perpetuity, according to data provided by another Wall Street firm, Moody’s Analytics.

In addition, Goldman focuses on stock values. These stock values ​​are based on Wall Street forecasts of future earnings over the next 20 years. So Goldman’s one-year migration push and $100 billion one-year pay cut could boost stock value by about $2 trillion.

President Joe Biden speaks in the South Court Auditorium of the White House complex in Washington, Dec. 8, 2022. (AP Photo/Susan Walsh)

According to the Bloomberg article, it was possible the investment firm was trying to cut nearly eight percent of its workforce “to contain a slump in profits and revenue.” However, a definitive figure regarding the job cuts has not been determined.

In September 2021, Goldman Sachs economists said the economy faced a “tougher road” than previously thought, Breitbart News reported at the time, noting that the company expected a 5.7% growth in the economy.

“In August, Goldman lowered its growth estimate from 6.4% to 6%. This follows a 6.6% downgrade in July. In February, Goldman had growth of 6.9%,” continues the report.

Meanwhile, a December Rasmussen Reports poll found most Americans are still concerned about the economy under Biden’s leadership, even as he claimed to be “building the economy of the future.”