Being a trader for an investment bank has never been a stress free job. Besides the usual demands to generate profit, you are either looking ahead at your next opportunity, or over your shoulder to see if an axe is heading your way. It is not uncommon for some firms to over-hire in the good times, then conduct mass layoffs when things eventually turn sour. This time around, everyone is a little more tense and still waiting for someone to sound a horn signalling all clear.

 

There have been two rounds of layoffs at the firm where I work, both were very frightening experiences. Investment banks are run a littke bit differently compared to a typical business, so here’s a rundown of what a layoff day is like in my world:

 

7:15am: Arrive at work as usual, begin preparations for the day.

 

7:45am: Quick team meeting announced. In the boardroom we learn that “things will go down today” and to keep your head down and focus on your work.

 

9:20am: The trader to your left gets a phone call asking them to go upstairs. You don’t notice him leave. He is never seen again.

 

9:35am: You notice the trader to your left is missing. Shit.

 

10:15am: You take a moment to stand up and look around the trading room. You see empty chairs and wonder if people are on vacation or cut.

 

10:30am: People start talking about the day’s casualties, everyone wonders if it’s over yet.

 

11:10am: Your Managing Director walks around announcing who is no longer with the firm.

 

11:11am: The responsibilities of the departed are spread around the desk, on a temporary basis.  

 

2:40pm: Discussions begin on who will permanently cover now vacant jobs. This is your only opportunity to be proactive and try to increase your value (and hopefully save your job down the line).

 

4:00pm: Trading day winds down. Training begins on any new roles you’ve added to your job.

 

6:00pm: Go home and have a stiff drink.

 

Repeat this time-table for every round of layoffs. Obviously, for those who are left, priorities become very different. Very few people are looking ahead to new opportunities. Very few people are that concerned what their bonus will look like. Everyone is happy to still be employed. They are, however, conscious that as a survivor, their stock has gone up. The time will come, eventually, when traders again will look ahead to the next opportunity and realize they are in a better position than before.