Goldman Sets a New Path -- WSJ -2-

07/18/18 02:47 AM EDT

A Goldman spokesman declined to make Mr. Blankfein available for comment.

Mr. Solomon has discussed paring the committee or creating a smaller group of top managers that would meet separately, people familiar with the matter said. Executives from nonrevenue divisions such as human resources and legal might be shifted to a broader, less-powerful operating committee.

That would echo a move Mr. Solomon made while running the investment-banking division. Frustrated its leadership was too big and lumbering, he created a smaller brain trust of top executives, a move that bruised some egos but sped up decision-making.

And as discussions get under way about the selection of the 2018 partner class, Mr. Solomon has advocated for a smaller one -- almost certainly under 100 -- with a higher allotment of bankers, traders and other revenue-generating employees and fewer slots for functions including compliance and operations, according to people familiar with the discussions.

Mr. Solomon has taken up diversity as an issue, particularly the lack of women in senior roles at Goldman. The incoming class of college graduates that will join Goldman this fall is 48% women, and the firm has set a goal of parity by 2021.

He urged the promotion of Beth Hammack to become Goldman's treasurer last fall over the objections of Mr. Blankfein, who felt Ms. Hammack was more valuable on the trading floor, where she was one of just a handful of senior women, according to people familiar with the matter. Mr. Solomon argued her promotion would send a message that Goldman was serious about closing the gender gap in its upper ranks, the people said.

"We're at a point in time where 'enough already,' " he told PayPal CEO Dan Schulman in a video chat last month. "I have trouble talking to my daughters about this and explaining why, for so long, we haven't made more progress on this front."

Write to Liz Hoffman at liz.hoffman@wsj.com

 

(END) Dow Jones Newswires

July 18, 2018 02:47 ET (06:47 GMT)

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