Barclays is cutting 5,000 jobs, or 5% of its workforce, mainly in support and development roles. On the same day, it reported third-quarter revenue of £7.365 billion, up 3% year over year, and pre-tax profit of £2.322 billion, up 12%. It also announced a £500 million share buyback.
At an average fully loaded cost of £110,000 per employee, cutting 5,000 jobs saves £550 million a year—equivalent to 24% of its pre-tax profit this quarter, and almost exactly the £500 million it’s spending on this round of buybacks. I ran the numbers twice; the two figures are almost too close.
The money saved on staff isn’t going into R&D; it’s going straight into shareholders’ pockets. In this earnings report, the much-touted productivity gains from AI aren’t a growth story—they’re a returns story.
$TAO is down 4.99% today at 258.8, with trading volume of $29.17 million and the fee rate close to zero. The intraday low of 258.3 is right below. Watch 258.3: if it breaks, it means this narrative can’t even hold up sentiment.
At an average fully loaded cost of £110,000 per employee, cutting 5,000 jobs saves £550 million a year—equivalent to 24% of its pre-tax profit this quarter, and almost exactly the £500 million it’s spending on this round of buybacks. I ran the numbers twice; the two figures are almost too close.
The money saved on staff isn’t going into R&D; it’s going straight into shareholders’ pockets. In this earnings report, the much-touted productivity gains from AI aren’t a growth story—they’re a returns story.
$TAO is down 4.99% today at 258.8, with trading volume of $29.17 million and the fee rate close to zero. The intraday low of 258.3 is right below. Watch 258.3: if it breaks, it means this narrative can’t even hold up sentiment.