NEW YORK Credit Suisse First Boston is firing at least 350 employees in an effort to trim costs to offset a slump in advising on mergers and new stock issues.
Due to current market conditions we will selectively be reducing headcount in our support division globally, said spokeswoman Jeanmarie McFadden. The securities unit of Credit Suisse Group began dismissing workers last week, targeting those who are not in revenue-producing activities, including administration, corporate services, technical support, and human resources. The cuts amount to about 3.5% of the 11,500 such jobs worldwide.
Included in the CSFB cuts are about 130 jobs in Europe, about 160 in the United States, and 45 to 50 in Asia.
The reductions mirror steps taken at other financial services companies that are coping with a drop in investment banking. Merrill Lynch & Co.s asset management unit fired 80 contract workers in the computer department last week.
Earlier this week Citigroup Inc. said that it is eliminating several hundred jobs. Bear Stearns Cos. has sliced about 400 jobs, and Lazard LLC has fired about 60 employees.
CSFB has eliminated 2,700 jobs in recent months in the wake of its $13 billion acquisition of Donaldson, Lufkin & Jenrette Inc. last year.
Though bond sales have surged this year, mergers and new stock offerings have slumped. CSFB, which managed more U.S. initial public offerings in 2000 than any other securities firm, has not managed any this year.