Merrill cuts back on private jets

I suppose when an industry has lost $400bn in a year, some sacrifices have to be made. In May, I documented how Deutsche Bank was no longer approving expense claims for ‘adult entertainment’. Well, things have got worse since then, as the losses have continued to mount:

• Goldman staff have to contribute to repair costs for their Blackberries, if the damage is their fault
• UBS bankers in the US now fly economy if the flight is less than 5 hours
• Several banks are asking staff to use taxis rather than limousines

And the C-suite are also setting an example. After a record 4 consecutive quarters of losses, Merrill Lynch executives now have to ‘seek clearance from the global head of investment banking’ before using private jets.

About Paul Hodges

Paul Hodges is Chairman of International eChem, trusted commercial advisers to the global chemical industry. He also serves as a Global Expert for the World Economic Forum. The aim of this blog is to share ideas about the influences that may shape the chemical industry and the global economy over the next 12 – 18 months. It looks behind today’s headlines, to understand what may happen next in critical areas such as oil prices, China and Emerging Markets, currencies, autos, housing, economic growth and the environment. Please do join me and share your thoughts. Between us, we will hopefully develop useful insights into the key factors that will drive the industry's future performance.


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