Current Weather
The Spy FM

Goldman Sachs Exec: ‘People Talk About Ripping Their Clients Off’

Filed by KOSU News in Business.
March 14, 2012

Greg Smith, an executive director at Goldman Sachs, is resigning today after 12 years at the firm. He has a scathing op-ed in this morning’s NYT, running under the headline “Why I Am Leaving Goldman Sachs”:

I believe I have worked here long enough to understand the trajectory of its culture, its people and its identity. And I can honestly say that the environment now is as toxic and destructive as I have ever seen it. …

The firm changed the way it thought about leadership. Leadership used to be about ideas, setting an example and doing the right thing. Today, if you make enough money for the firm (and are not currently an ax murderer) you will be promoted into a position of influence. …

I attend derivatives sales meetings where not one single minute is spent asking questions about how we can help clients. It’s purely about how we can make the most possible money off of them. …

It makes me ill how callously people talk about ripping their clients off. Over the last 12 months I have seen five different managing directors refer to their own clients as “muppets,” sometimes over internal e-mail.

Read the whole thing here.

The NYT took the unusual step of running a news story about its own op-ed. It includes Goldman’s rebuttal:

We disagree with the views expressed, which we don’t think reflect the way we run our business. In our view, we will only be successful if our clients are successful. This fundamental truth lies at the heart of how we conduct ourselves.

The op-ed has already spawned at least one parody: Why I Am Leaving The Empire, by Darth Vader.

Leadership used to be about ideas, setting an example and killing your former mentor with a light sabre. Today, if you make enough money you will be promoted into a position of influence, even if you have a disturbing lack of faith.

[Copyright 2012 National Public Radio]

Leave a Reply

7PM to 9PM Juke Joint Revival

Juke Joint Revival

Juke Joint Revival rivals any Rockabilly/Roots show on the air today, and the host of that program, Jenni Zee, lives and breathes the Rockabilly lifestyle. Her show has drawn the attention of Rockabilly fans the world over.

Listen Live Now!

9PM to 10PM The Spy

The Spy

An eclectic mix of the Spy's library of more than 10,000 songs curated by Ferris O'Brien.

View the program guide!

10PM to 11PM The Blank Generation

The Blank Generation

Our punk show, The Blank Generation, is hosted by Katie Jones and Chad Hunnicutt. Katie has been attending punks shows for more than half her life. Chad is a member of local band, The Muck Savages.

View the program guide!

Upcoming Events in your area (Submit your event today!)

Streaming audio and podcasts

Stream KOSU on your smartphone

Phone Streaming

SmartPhone listening options on this page are intended for many iPhones, Blackberries, etc. with low-cost software applications available to listen to our full-time web streams, both News on KOSU-1 and Classical on KOSU-2.

Learn more about our complete range of streaming services

We're perfecting the patient experience - Stillwater Medical Center