A top executive at a publicly traded brokerage confirms that layoffs are coming. Yet it's not clear how the cuts will affect the firm's $360-billion-AUM asset management arm.

Peter B. Crawford Charles Schwab Corporation Executive Vice President, Chief Financial Officer

The Charles Schwab Corporation team will eliminate about 600 positions, which translates into about three percent of the company's total workforce, chief financial officer Peter Crawford confirmed on Monday in the company's Monthly Activity Report for August 2019. Crawford's statement confirms a WSJ report from last week. (The WSJ blamed the cuts on falling interest rates, given that Schwab's bank now accounts for more than 50 percent of the company's revenue.)

Jonathan Christian de St. Paer Charles Schwab Investment Management, Inc. President, CEO

"Impacted positions span all staffing grades, as well as organizations and locations across the company," Crawford stated in the Monthly Activity Report.

Yet Crawford did not hint as to which Schwab units will be affected. Erin Montgomery, a Schwab spokeswoman, declined to comment on many of the cuts will come from Schwab's asset management unit, Charles Schwab Investment Management (CSIM) [profile], which is now led by Jonathan de St. Paer.

"We are currently reviewing our expense base, given the economic environment, and as part of that some 600 jobs will be eliminated," Montgomery tells MFWire via email. "It would be inappropriate to comment any further at this time." 

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