The Chicago-based parent company of a mutual fund and ETF provider and servicer is taking across-the-board belt-tightening measures.
| Frederick Waddell
Chief Executive Officer
Steve Daniels of Crain's Chicago Business reports
that, per a memo that CEO Rick Waddell
sent to staff on February 3, Northern Trust
] is freezing both salaries and hiring. The salary freeze will affect all U.S. and European Northern Trust workers, though not its workers in India and the Philippines. And the hiring freeze is "for both new and replacement posts," Waddell wrote in the memo.
"At this time, we are targeting Oct. 1, 2016," as the end of the salary freeze, Waddell wrote.
The total hiring freeze will last until March 7.
"A comprehensive review of all hiring plans will be completed to better align hiring priorities, expenses and revenue growth," Waddell wrote.
The moves come as stock markets are continuing to take hits. The Dow is down 8 percent year-to-date (as of market close yesterday), the S&P 500 is down 9.31 percent, and the Nasdaq is down 14.43 percent. And Northern Trust's own shares are down 19.93 percent year-to-date.
"In light of current market headwinds, we are making a variety of changes designed to keep our expenses in alignment with revenues," the bank told the paper in a statement. "No exception is being made for senior executives."
Neil Anderson, Managing Editor
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