NEW YORK: Goldman Sachs is managing the public resignation of Greg Smith, executive director and head of the firm's equity derivatives business in Europe, using its internal communications team. It does not plan to hire an outside firm for assistance.
“We have handled this week's issue with our in-house team and have no plans to hire someone on the issue at this time,” a source close to the matter told PRWeek on Friday.
On Wednesday, Smith, who worked at Goldman for 12 years, criticized the culture of the company in an op-ed for The New York Times.
"I can honestly say that the environment now is as toxic and destructive as I have ever seen it," said Smith in the public resignation letter.
In response to Smith's criticisms, Goldman CEO Lloyd Blankfein and president and COO Gary Cohn posted a letter to the firm's employees on the company website.
“It is unfortunate that all of you who worked so hard through a difficult environment over the last few years now have to respond to this,” Blankfein and Cohn stated in the letter. “But, our response is best demonstrated in how we really work with and help our clients through our commitment to their long-term interests. That priority has distinguished us in the past, through the financial crisis and today.”
Goldman had worked with Hill+Knowlton Strategies predecessor Public Strategies on media relations in 2010. Representatives from H+K did not respond to calls or emails about its relationship with Goldman.
Recently, Goldman hired Richard Siewert Jr. as global head of corporate communications and managing director, replacing the retiring Lucas van Praag.