Goldman Cuts List of Partners to Trim Expenses

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Goldman Sachs Group (GS) has cut the number of employees it lists as partners to help streamline expenses.

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Goldman has reduced the number of partners to 407, down 31 from February, the bank said in a filing with the U.S. Securities and Exchange Commission, without identifying the partners that had been dropped.

Becoming a Goldman partner is a coveted title on Wall Street because of its prestige and lucrative compensation. Fewer partners were named this year because of a broad decline in Goldman's staff levels.

Since the end of 2010, the investment bank has cut 3,100 employees from its payroll, shrinking its workforce by 9 percent.

From 2011, dozens of partners have left the investment bank, including some high-profile executives such as David Heller and Ed Eisler, two co-heads of Goldman's securities business.

In April, Chief Financial Officer David Viniar said 15 to 20 percent of Goldman partners typically leave the firm every two years.

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Last month, Viniar said the bank has already finished most of a cost-saving program that aims to reduce annual expenses by $1.9 billion, by cutting staff and other non-compensation expenses.

Goldman has set aside $10.97 billion for compensation so far this year, a 10 percent increase from a year ago. That equates to $336,442 per employee, up 15 percent from $292,836 per worker during the first nine months of 2011.

Harvey Schwartz will take over from Viniar, the longest-serving CFO on Wall Street, at the end of January.