Morgan Stanley and Goldman Sachs, the last of the nation's major investment banks, will change their status to bank holding companies so that they can create commercial banks and receive deposits to provide them with more resources.
Such cuts would account for about 3 percent to 4 percent of the Wall Street firm's work force, the newspaper reported, citing a person familiar with the matter.
Morgan Stanley cut about 7,000 positions in 2008. The Journal reported about possible job cuts at the firm last week.
Shares of Morgan Stanley (NYSE: ms) were up more than 1 percent Monday.