Fidelity Trims Workforce by 2%

October 31, 2001( - Fidelity Investments says it will trim its payrolls by 2%, axing some 760 jobs. Roughly 12% of those will come from the retirement unit, in what the group says will be the last reductions of the year.

The bulk of the layoffs would be in the group’s brokerage unit, which has been felt the impact of the lackluster stock market and poor economic fundamentals.

The brokerage unit would lose 382 of its 10,000 employees, the institutional retirement unit would shed 94 of its 8,000 positions and Fidelity Investment Institutional Services would lose 70 of its 1,400 workers. The remainder of the cuts will be spread throughout the company.

The dismissed employees will work until the end of the week and will remain on the payroll through the end of the year. They will receive severance packages and outplacement services for about two months.

While every job lost is regrettable, we are fortunate that we have been able to avoid the much deeper cuts experienced by other corporations this year, Fidelity said in a statement.

Fidelity employed 32,493 people at the end of September.