As part of a larger cost-cutting effort, Smith Barney is consolidating some of its branch offices and laying off a number of its branch managers. Sources inside the firm believe that about 30 branches will be closed, and that these will be mostly satellite offices, offices performing in the bottom quintile or geographically isolated offices.
One Smith Barney advisor says the office closings and consolidations are scheduled for November and December. But some offices have already heard they will be shuttered. Sources confirmed that the New York City office branch on Third Avenue will be closing, while the branch in White Plains is going through a “whole change.”
“A lot of layers of management will be cut,” including regional and branch level managers, says another top advisor at the firm in the Northeast. “There are two offices in Paramus, New Jersey. There’s an office in Mount Kisco, one in White Plains and another in Purchase—there should be one big one in White Plains, period. There are another six to eight offices in New York—you can bet there’ll be managers fighting for their jobs,” he says.
“Real estate consolidation and capacity decisions are standard business practice,” Smith Barney Spokesman Alex Samuelson said. “We decline to comment on specific branch rumors.”
For a recent story on the imminent departure of Sallie Krawcheck—until recently CEO of Citi’s global wealth management division—click here.