Two Chinese companies and JPMorgan have become the latest banking groups to cut jobs in China as a slow recovery in listing and dealmaking activities force them to ramp up cost controls, six sources with knowledge of the matter said, reports Reuters. Beijing-based China International Capital Corp (CICC) is planning to reduce its investment banking headcount by at least 10% this year, two people with knowledge of the matter told Reuters.
Peer CITIC Securities is cutting around a dozen investment banking jobs in Hong Kong, according to two other sources.
The cuts would be the first major workforce reductions this year at top Chinese investment banks, and would rank among Chinese banks’ biggest layoffs since the end of the COVID pandemic, as the country’s economic slowdown, rising Sino-US tensions and sluggish capital markets have dampened dealmaking.