State of Slate AM

Based on previous WSO threads, here are some insights into the current state of the industry and layoffs:

1. Layoffs Across Firms:

   • It's not uncommon to see layoffs at various levels, including analysts and associates. For instance, Goldman Sachs has been reported to have laid off a significant portion of their analyst class, with some sources indicating up to 85% in certain years.
   • Other firms like HL have also seen layoffs, with reports of 20-25% of analysts being let go across offices.

2. Business Conditions:

   • The industry has been facing challenging business conditions, with revenues being much lower than anticipated. This has led to cost-cutting measures, including layoffs and reduced bonuses.
   • The market conditions have been tough, with some firms experiencing significant losses and even rumors of potential foreclosures.

3. Over-Hiring:

   • There have been instances of over-hiring, especially during periods of high demand. This has led to a situation where some hires may not meet the performance expectations, resulting in layoffs when business conditions tighten.

4. Impact on Junior Levels:

   • Layoffs at the junior level, such as analysts and associates, have been noted. This is partly due to the ease of hiring at this level based on academic credentials, which can lead to a mismatch in performance expectations.

5. General Sentiment:

   • The overall sentiment in the industry is one of caution, with firms closely monitoring economic conditions and adjusting their workforce accordingly. This includes exploring ways to cut costs through layoffs and other measures.

For more detailed discussions and updates, you can refer to the following threads on Wall Street Oasis: - Just So You Guys Know... - GS Layoffs - The Chopping Block - HL Recent Layoff

If you have more specific questions or need further details, feel free to ask!

Sources: GS Layoffs - The Chopping Block, Analyst - Laid Off, GS Analyst Survey Results, Just So You Guys Know..., HL Recent Layoff