The downsizing of the financial services industry is proceeding via nicks, cuts and big shogun slashes. Through October, 130,000 financial jobs had been eliminated throughout the industry this year, according to Challenger, Gray & Christmas. But the news of 53,000 job cuts at Citigroup will raise the number to around 180,000. That will be the industry's biggest yearly job contraction ever, notes the AP. The personal upheaval has been, and will continue to be, tremendous, but there will be indirect effects as well. Total job losses (across all industries) will hit 225,000 in New York state and city alone. Tax revenues from the securities industry alone will decline an estimated $6.5 billion--more if you count indirect effects. So as far as industry downturns go, this one is really profound; hopefully, we're at the nadir. You've got to think that big recovery is years away.

For more:
- here's the AP article via the LA Times

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