Fidelity Investments, of Boston, announced that it is cutting 1,695 employees, or more than 5% of its workforce, in what was a widely expected, cost-cutting measure. Fidelity, the nations largest mutual fund company, said the cuts will reduce the companys roster to roughly 29,300.
Rumors of the layoffs at Fidelity have been circulating recently, with some analysts predicting that the firm might cut as many as 10% to 15% of the workforce, including some fund managers and analysts.
But the cuts were not as deep as some had expected. "We don't have any plans to do any more large-scale layoffs this year," said Anne Crowley, a spokeswoman for Fidelity. The layoffs will affect a range of employees but will not include fund managers and fund analysts.
This is not the first time Fidelity has had to pare back its workforce. Last October, Fidelity announced that it was trimming its staff by 760 employees, or about 2% of its workforce.