Boston, MA 05/07/2014 (wallstreetpr) – State Street Corporation (NYSE:STT) is one of the most trusted and acclaimed financial institution of the world, which is known for offering the top notched services to the institutional investors. No matter if you are an asset manager, an insurance company, pension fund, or official institution, you can take help of this company to make your operations easy.
Recently thins company came into the eyes of all the world for a not so good reason. The company has announced to cut down its current job profiles by 400 numbers. This decision has been taken to cut down the cost of the company. This process will run throughout the year, one of the management official told. Out of these 400 jobs cut, 145 jobs will be cut in one shot and rest steadily.
This decision came suddenly after the announcement of Q1 results. State Street Corporation (NYSE:STT) made a profit of $356 million in Q1, which was 22% lower than what the company earned a year earlier. Though the revenues of the company increased by 1% to $2.5 billion. It is not the first time when the company has announced any job cut. It is the fourth occasion since year 2010, when company has cut down jobs. If totaled, one can see that State Street Corporation has cut down total 2,960 jobs in past four years. Joseph “Jay” L. Hooley, the CEO of State Street Corporation said that company had to cut these jobs to fight against the challenges thrown by low interest rates in the market. Please note that the CEO alone took a total compensation of $15.5 million, almost 29% more than a year before. As soon as this decision came out, the stock prices of State Street Corporation saw a negative growth. There is no doubt that State Street Corporation (NYSE:STT) is one of the largest employers of US, but a recent job cut is not going to give a strong message to market, says a report.
