Morgan Stanley to cut 2,500 jobs in US and overseas

READ MORE: Why Jack Dorsey’s 40% AI layoffs are a wake-up call for HR

The Journal’s sources said the cuts would impact roles ranging from private bankers to certain back-office positions, including some jobs within the wealth management division including private bankers, support staff, and some mortgage-related roles. Reuters reported that the layoffs will not affect financial advisors.

Morgan Stanley employs about 83,000 people worldwide, meaning the reductions amount to a relatively small portion of its workforce but will still affect thousands of employees across departments.

According to reports, the move reflects a broader realignment across the firm rather than a response to immediate financial weakness. Even with layoffs underway, Morgan Stanley is expected to continue hiring in some areas where it sees future growth.

The restructuring also mirrors a wider trend among major corporations that are reevaluating staffing levels as they adopt new technologies and seek efficiency gains. Reuters noted that companies across industries have announced job cuts in recent months as artificial intelligence tools reshape workflows and productivity. Jack Dorsey recently announced plans to slash 40% of the workforce at Block – a total of 4,000 employees – citing rapidly improving AI models, while Salesforce cut 4,000 staff last year and Pinterest has said it will lay off 15% of its workforce for similar reasons.