
Kenneth Moelis, the former president of UBS AG's investment bank, said Wall Street firms may have to eliminate as much as 35 percent of employees as leveraged lending dwindles and the pace of mergers and acquisitions slows.
``The Street got staffed up to support what was a slight bubble in M&A,'' Moelis, 49, said in an interview on Bloomberg Television today. ``You're going to see a significant retrenchment.''
35% is huge and we're talking about companies that pour money into the NYC economy. This is going to be bad.
The banks will survive, but what do you do if you're a trader in a place like this? Where do you go when there are major cutbacks?
What do you do? Expect to sit around and collect unemployment or work $6 an hour jobs if the local economy has them. All the education in the world may not help either.
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