Wall Street is no longer rewarding job-cut announcements, Goldman analysis finds
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Wall Street is no longer rewarding job-cut announcements, Goldman analysis findsListen(3 min)Listen(3 min)In the past, company share prices typically responded very positively to announcements regarding job layoffs if they were motivated by productivity gains or cost savings. Now though, corporates have underperformed the overall market by 2% after making such disclosures. Equity markets, it appears, have stopped rewarding companies making job cuts, even if their stated justifications are benign, and are punishing share prices regardless. About the AuthorJules Rimmer is a markets reporter in London.Rimmer spent more than 30 years as a trader and stockbroker in financial markets, starting at Salomon Brothers in the Liar's Poker era, taking in ING Barings, Jefferies and ending it in emerging markets at Investec. He hung up his headset and pivoted to journalism in 2021.Copyright © 2025 MarketWatch, Inc. All rights reserved.