Goldman Sachs CEO says Clients Are Shifting Away From Supply Chain Resiliency To Keeping Headcount Down, But ‘I’m Not Hearing Panic’

“Economic growth is slowing,” Goldman Sachs CEO David M. Solomon said on Tuesday, the first day of the firm’s U.S. Financial Services Conference. “Our economists expect the global economy to grow by 1.9% in 2023,” Solomon said. “They believe Europe is already in the midst of a mild recession.” And Goldman economists predict the U.S. will narrowly avert a recession, he said. 

“I’m actually slightly more cautious when I talk to clients,” Solomon said. “They sound extremely cautious. Many CEOs are watching the data, waiting to see what happens…But I’m not hearing panic.”

But Solomon did indicate a change. “We’re seeing clients shift attention away from supply chain resiliency and toward keeping headcount down.” That’s evident in what seems like almost daily announcements of hiring freezes or layoffs by companies across industries.

Source: https://fortune.com