Due to growing costs associated with the integration of Smith Barney, Morgan Stanley has plans to shut down 300 branches and could let go as many as 1,200 employees, says the New York Times.  The finance and brokerage firm has already cut 200 staff positions in connection with the acquisition.

The company cites a decline in the use of the firm’s services by small investors as one reason the cuts are necessary.  Add to that the redundancy of services provided by both Morgan and Smith Barney and the results look bleak for employees of both firms, despite protests from Barney employees who expect to feel the brunt of the cuts.