Our post-crash world...
MF Global Inc. fired 1,066 employees at the U.S. broker-dealer today, according to the trustee's office responsible for liquidating the unit.This missing money did not vanish. It still exists in the deepened pockets of a few people.The trustee's office responsible for liquidating MF Global Inc., the U.S. broker-dealer unit of MF Global Holdings Ltd., said between 150 and 200 former employees are being rehired to assist in the wind down of the business and processing of bankruptcy claims.
A source with direct knowledge of the matter said some of the people who are being fired have been assisting in the investigation of missing customer funds estimated to total about $600 million. The Department of Justice and the Commodity Futures Trading Commission are conducting an investigation into the missing money.
None of the laid-off employees will get severance pay, deferred compensation or bonuses, the source said. They'll receive health coverage through the end of November. Employees will get salaries through November 15 and the offices in New York City will be closed as soon as possible. Smaller and less expensive office space will rented.
