Morgan Stanley lays off 2,500 employees, division most affected

Morgan Stanley, one of the world’s largest banks, recently announced job cuts amounting to about 3 percent of its workforce. The move is estimated to affect around 2,500 people, including staff who support mortgage services for clients in wealth management.

According to The Wall Street Journal (WSJ) on Friday, 6 March 2026, the cuts are in response to shifts in business priorities, changes to geographic strategy, and consideration of individual performance.

The New York-based bank is expected to employ around 83,000 people globally. The job cuts were reported across a range of divisions, including investment banking, trading, investment management, and wealth management.

In the wealth management unit, affected staff include private bankers and back-office support staff. The cuts began last week, with many taking place on Wednesday, according to the WSJ.

Despite reducing headcount, Morgan Stanley’s financial position remains robust. In 2025, the bank posted net revenue of US$70.6 billion, equivalent to Rp1,185 trillion, up from US$61.8 billion (Rp1,038 trillion) in the previous year.

Net income attributable to Morgan Stanley also rose from US$13.4 billion to US$16.9 billion, equivalent to Rp284 trillion, during the same period.

In the mortgage market, Morgan Stanley ranked 33rd among the largest lenders in the US. In 2025, the bank generated mortgage volume of around US$13 billion, or Rp218.4 trillion, up 19 percent from the previous year, according to Inside Mortgage Finance.

Data from RETR shows that the bank’s focus is on home purchase loans and conventional loans, with an average loan size of around US$918,000, or Rp15.4 billion.

Meanwhile, Morgan Stanley has not yet issued an official comment regarding the cuts. Analysts note that although mortgages are among the affected divisions, the layoffs are more of an internal adjustment than an indication of financial trouble.