Credit Suisse has reportedly quietly frozen hiring at its trading division – which the Swiss bank denies.
The Swiss bank has enacted an informal hiring freeze across some parts of its sales, trading, and research unit, according to a detailed report by «Business Insider» (behind paywall), citing sources. However, Credit Suisse denies this.
«Global markets is not subject to any kind of hiring freeze. We are continuing to invest in our franchise, including recruiting top talent at all levels, across all of our businesses,» Credit Suisse spokeswoman Karina Byrne told the publication.
Informal Policy
The unit, led by investment banker Brian Chin, has limited hiring in its research division to only analysts and associates even though it has delivered solid second-quarter results, according to one person quoted by the media outlet. Hires for the director and higher are being discouraged, the person added.
On some teams, managers have gone through the process of interviewing candidates, only to be told at the end of that process that they couldn't hire because of an informal policy against it, two of the people quoted in the paper said. The global markets business housed 11,830 employees globally at the end of June, a 3 percent increase from the first quarter. The bank does not give a breakdown in role or seniority level.
Hiring Periods
Wall Street hiring is usually reserved for the first half of the year, though it has not always been true in recent years, especially across investment banking and equity derivatives. The practice is intended to hire people at a time when they can still contribute meaningfully to their new firm before the end of the year.
Moreover, salespeople, traders, or bankers are reluctant to jump ship until they've received their bonuses from their old firms, usually in January or February. Then, there's the required «gardening leave» that could force a senior person to take three months off before joining the new firm.
