Goldman Sachs is getting ready to impose a new requirement that junior bankers regularly pledge their loyalty to the Wall Street giant — a clampdown designed to reduce defections to high-paying private equity firms, according to a report.
The new policy, which has not been publicly announced, will ask new analysts to certify in writing every three months that they remain committed to Goldman Sachs and have not accepted offers from a rival employer, Bloomberg News reported.
The move is designed to counteract aggressive recruitment of junior banking talent. Critics say that the tactics, known as on-cycle recruitment, are used by private equity firms to effectively exploit investment banks as free training grounds.
The policy, which has not been publicly announced, will ask new analysts to certify every three months that they remain committed to the firm, according to a report. Goldman CEO David Solomon is pictured. Getty Images
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