John Thain, Merrill Lynch chief executive, yesterday said thousands of employees would lose their jobs when the company is taken over by Bank of America.
Speaking in Dubai while on a regional tour, Thain said the jobs would be lost in the corporate and services sectors, such as information technology.
Thain added that BofA’s acquisition of Merrill’s investment and wealth management businesses would be completed by the end of the year.
Thain’s warning comes as New York, one of the world’s premiere financial centres, braces itself for the loss of up to 35,000 jobs in the banking sector, according to estimates from William Thompson, New York City comptroller.
The majority of job losses are the result of the collapse this year of Bear Stearns and Lehman Brothers.
Financial Times, Daily Telegraph