The magnitude of layoffs in the Financial industry due to the credit crisis

Just realized this is a 2007 graph. Here’s a 2008 layoff picture.

The Financial services industry employs about 867,400 people (directly) in the US. This is according to SIFMA (securities industry association).

From the beginning of the credit crisis (March 2007) starting with smaller layoffs and then Countrywide and Citi, there have been a total of 111,201 layoffs or 12%.

Challenger now predicts job losses to hit about 251,000 workers or 28%.

Of the 111,201 jobs lost, only 7800 or 7% of displaced have landed new jobs.

So where to look for jobs?

1. Wealth management and retirement services – businesses with long time
horizons – are strong possibilities, as are private equity firms

2. Back in the ’80s, Wall Street had a lot of smallish specialist firms like boutique broker-traders.

3. Uncle Sam may be hiring, too. (See Chart above).

4. The consulting business is eager to take on investment banker
. (See Chart above)

5. Your best bet, though, might be to look beyond U.S. borders. “We’re
seeing tremendous demand for banking and finance expertise in Dubai,
and also in every Asian country except Japan.”