NEW YORK CITY, New York: Goldman Sachs is hitting pause on plans for additional job cuts, following a stronger-than-expected rebound in its investment banking division, the Financial Times reported on Thursday.

The Wall Street giant had been considering a second wave of performance-based layoffs this year. However, the recent uptick in dealmaking activity has improved the outlook enough for the firm to shelve those plans, according to the report.

Goldman had previously made significant staff reductions in late 2023 and early 2024 as it battled a slowdown in mergers, acquisitions, and capital markets activity. The now-cancelled round of cuts would have targeted underperformers across the firm.