Concerns are growing that the credit crunch may force City firms to put their diversity initiatives on hold. Although Gay and Lesbian lobbying group Stonewall remains confident that investment banks will continue to take part in this year's Workplace Equality Index and remain committed to their Diversity Champions programme, our sources inside a number of firms are telling us that other priorities in these challenging times are pushing diversity initiatives way down the agenda.
As the market tightens, we're giving recruitment / executive search consultants the opportunity to tell our how they are finding things. We'll post all suitable contributions either by name (if expressly given permission), or anonymously.
You know you're in trouble when the press start to speculate on exactly how much your flagship building is worth. And The Financial Times did just that earlier this week on the subject of Lehman Brothers' 38-storey Times Square headquarters.
Bloomberg reports that Credit Agricole has reported a 94% fall in second-quarter earnings. Net income came in at $112m, after $1bn in writedowns related to debt backed by US bond insurers.
National Post reports that shares in CIBC were on the move up Wednesday, after it reported a 91% fall in third-quarter earnings to $68m. The reason ? The bank 'only' wrotedown some $845m in assets in the period, much less than expected, and the smart money now thinks that the firm is over the worst of subprime.
With many firms writing down billions this year and profits and revenues in the toilet, the odds of some staff getting a 'doughnut' (zero) bonus in 2008 have increased. So, we thought it would be interesting to see which firm you thought were most likely to dish out 'doughnuts' this year-end.
Here's a posting sent in by one of our readers.
There's no let-up for Lehman Brothers. Another day, another story. As the firm's stock price yo-yos downwards, and firm executives are said to be pounding every corner of the globe in search of an investor, CEO Dick Fuld looks to be in an increasingly precarious position. And the silence coming from the firm is deafening. With no official announcement about possible investments, asset sales or third-quarter writedowns, rumors and speculation are free to do untold damage to the firm's franchise, leaving the impression of drift and strategic shutdown.
The Financial Times reports that UBS expects its compensation costs to fall by as much as a third this year. A major restructure over at UBS Investment Bank has seen headcount fall by around 3,000 staff, and weaker revenues will translate into smaller year-end bonuses. The newspaper quotes UBS spokesperson Andreas Kern confirming that 'the bonus pool will be smaller'.
The Sunday Times reports that an extraordinary meeting of Commerzbank's 21-member supervisory board is scheduled for later this week, and is expected to give the go ahead for a $13bn bid for Dresdner Bank.