Blackrock to cut 3% of workforce

Internal memo to Blackrock's staff reveals around 400 jobs will be cut.

Blackrock is set to cut approximately 400 jobs, according to reports circulating today.

The cuts equal 3% of its workforce and are the first to be made at the company since 2013.  

About 300 jobs were cut in 2013 as the firm reorganised its investments unit, but since then its total headcount increased.

Blackrock declined to comment on the matter.

A memo to employees confirmed the cuts are yet to be finalised, but those affected “will be treated fairly and with respect”, according to Bloomberg.

President Rob Kapito and chief operating officer Rob Goldstein said in the memo: “Being a global leader requires that we continually re-assess our organization to look for ways to serve clients better, operate more efficiently, focus resources on strategic priorities and create new opportunities for our strongest employees.”

The company is expected to further invest in its talent pool, and end the year with a higher headcount.

Blackrock is the latest firm to reduce its headcount, with rising costs and falling revenues forcing many to streamline the number of employees.