A source familiar with the situation has told Fox news that Goldman Sachs is planning to lay-off as many as 4,000 employees in the new year.

The report comes on the heels of a Bloomberg News report which had described CEO David Solomon warning in his end of the year message to employees, that the second largest investment bank in the world would be cutting staff in the first few weeks of the new year, and the lay-offs could number in the thousands.

According to Bloomberg, Solomon said, “We are conducting a careful review and while discussions are still ongoing, we anticipate our headcount reduction will take place in the first half of January.”

He reportedly went on, “There are a variety of factors impacting the business landscape, including tightening monetary conditions that are slowing down economic activity. For our leadership team, the focus is on preparing the firm to weather these headwinds.”

Goldman had already laid off 500 employees in September, as the economic downturn began to batter the financial sector. A few weeks ago the Financial Times had reported that Solomon was considering slashing bonuses by about 40% for 3,000 employees.

Solomon had hinted before that further cuts could be coming as he reported on the dismal outlook for the economy in 2023.

During an interview on Bloomberg Television he had said, “You have to assume that we have some bumpy times ahead. You have to be a little more cautious with your financial resources, with your sizing and footprint of the organization.”

He added, “That might also come from pruning in certain areas.”