Cantor Fitzgerald is reportedly planning to make hundreds of job cuts, a move that would mark the largest reductions of any major Wall Street firm during the pandemic.
Operated by Howard Lutnick, the firm made the decision to lay off staff to secure itself in the face of the economic downturn, according to Bloomberg, which cited sources familiar with the matter.
The publication, citing those sources, said cuts to Cantor’s commercial real estate units had already taken place and more were expected across the company. Specifically, affiliate Newmark Knight Frank’s leadership was asked to take pay cuts and eliminate positions.
“We have made prudent headcount and cost reductions to position the firm for the uncertain macroeconomic conditions expected for the remainder of the year,” a representative for Cantor told Bloomberg in a statement.
BGC Partners, a Cantor affiliate, last month cut its dividend and announced it had drawn down $230 million from a revolving credit facility.
Cantor Fitzgerald, founded in 1945, is headquartered in Midtown at 110 East 59th Street, a Jack Resnick & Sons and Ruben Companies building. Cantor has 12,000 employees worldwide and offices in more than two dozen U.S. locations, including Los Angeles, Chicago, Miami, Palm Beach Gardens and Greenwich. It has made a celebrated comeback since 658 of its employees were killed in the 9/11 attacks.
Several major banks have vowed to avoid layoffs during the pandemic, allaying fears of their staffs as record numbers of Americans file for unemployment.
A little over a year ago, Cantor Fitzgerald and Silverstein Properties announced that they were looking to raise almost $2 billion for an Opportunity Zone fund. [Bloomberg] — Sylvia Varnham O’Regan