RBC trims US investment bank team, cuts over a dozen jobs post recent layoffs

Layoffs have become a recurring theme in the current business landscape, with numerous companies across various industries announcing job cuts in recent times. Now, the Royal Bank of Canada's investment banking division has carried out a second round of layoffs in the United States. 

Bloomberg reported that RBC Capital Markets is cutting more than a dozen members of its US investment-banking team, which consists of approximately 1,000 employees. 

The sources, who requested anonymity while discussing personnel changes, revealed that this is the second round of layoffs by RBC Capital Markets, the first being the decision to cut around 1% of the group in September last year.

According to an RBC spokesperson, the recent changes will affect only a few employees as the bank periodically reviews its business strategy, operating environment, and resource allocation. The spokesperson also mentioned that RBC is still investing in areas of growth and anticipates that the total headcount will remain steady or increase this year.

In addition, the bank has been expanding its workforce by hiring senior talent from institutions such as Credit Suisse Group AG and SVB Securities.

In response to inflation, a decline in deal activity, and the potential of an upcoming recession, Wall Street has turned to headcount reductions and hiring freezes to keep expenses in check. JPMorgan Chase & Co. CEO Jamie Dimon recently stated that the bank's headcount will stay the same for the rest of the year.