Morgan Stanley wants people to know that the firm has no plans for a major reduction in its workforce other than 300 or so underperforming Financial Advisors.
On the other hand, there will be major cutbacks in hiring in the third and forth quarters of this year, the company now says.
According to a report by Hereisthecity.com , Morgan Stanley's statements were in response to Fox Business News Charlie Gasparino reporting that, according to his sources, Morgan Stanley was busy "running layoff scenarios into several thousand folks."
In response to the Fox report, "a firm spokesperson has now told Gasparino that there's not even a hiring freeze in place: "There's no hiring freeze, but we expect to cut back significantly in hiring in the third and fourth quarters this year, and continue to only hire for critical roles," Morgan Stanley was quoted as saying.
Fox News had virtually the same information to report this week, adding that "While the Wall Street heavyweight has no current plans for layoffs, it does continue to monitor its headcount as the economic recovery show signs of petering out."