Morgan Stanley Cuts Around 2500 Jobs Amid Global Workforce Restructuring

Morgan Stanley has reduced its global workforce by roughly 3 percent, affecting about 2,500 employees across multiple divisions. The move comes despite the investment bank reporting its strongest annual revenue performance in 2025.
The job cuts span several major business segments, including investment banking and trading, wealth management, and investment management. Employees across multiple regions have been affected, including offices in the United States and other international markets.
With a global workforce of nearly 83,000 employees, the layoffs represent one of the larger workforce adjustments seen on Wall Street in recent months.
Wealth Advisors Largely Unaffected
While the reductions were spread across several functions and roles, financial advisers were largely unaffected. The decision reflects the firm’s ongoing strategy to strengthen and expand its wealth advisory business.
Within the wealth management division, some reductions reportedly affected private banking teams and operational staff, including roles supporting services such as mortgage lending for high-net-worth clients.
Part of Broader Strategic Recalibration
The workforce reduction is part of a broader organizational restructuring effort at Morgan Stanley. Internal changes, shifts in business priorities, and performance-based evaluations are believed to have influenced the decisions.
Some roles were also impacted by changes in office locations and operational structures as the firm continues to streamline operations globally.
Strong Financial Performance in 2025
The layoffs come during a period of strong financial momentum for the bank. A rebound in global dealmaking activity during 2025 significantly boosted investment banking revenues and underwriting fees.
In addition, the firm’s trading operations and wealth management business reported record levels of income, contributing to stronger-than-expected quarterly earnings.
Positioning for Future Growth
For Morgan Stanley, the latest workforce changes signal an ongoing effort to reshape its workforce while aligning resources with future growth opportunities in global capital markets.
The restructuring reflects a broader trend across the financial sector, where institutions are adjusting workforce structures while continuing to invest in high-growth areas such as wealth management and capital markets advisory services.
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