Credit Suisse to Cut 69 N.Y. Staff Amid Prime-Services Exit
(Bloomberg) -- Credit Suisse Group AG said it will permanently cut 69 employees from its workforce in New York City as it winds down a prime-services division there.
The job cuts will take place on March 6, the Swiss bank said in a filing to the New York State Department of Labor. The prime-services unit is set to close by Aug. 1, the filing shows.
Credit Suisse moved last year to discontinue most prime-brokerage operations after being burned by the Archegos Capital Management scandal. The collapse of Bill Hwang’s family office led to billions of dollars of losses for the Zurich-based bank.
The risk lapses at Credit Suisse prompted Chairman Antonio Horta-Osorio to undertake a sweeping review of operations. In addition to paring pieces of the firm that backfired, he’s planning to shift more resources to wealth management.
©2022 Bloomberg L.P.