Goldman Sachs defends ex-bankers going into Politics

Goldman Sachs Group, Inc. (NYSE: GS) has witnessed many of its alums accept government jobs, including Cabinet positions under the president of the United States. “We have been criticized for the fact that some of our colleagues, after long careers at the firm, have moved to work in the public sector,” CEO Lloyd Blankfein said in its 2016 annual report. “The charge is that Goldman Sachs is able to extract certain advantages that others can not. In fact, the opposite is true. Those in government bend over backwards to avoid any perception of favoritism. We are proud of our tradition of leadership and public service and believe it is a core part of our culture. That is why we will continue to encourage our people to contribute to government service if they are fortunate enough to be asked. “

Goldman has been labeled “Government Sachs” due to the extensive list of bankers who have transitioned into public service. In December, Donald J. Trump inquired with Gary Cohn, then-Goldman’s president and chief operating officer, to join his administration as director of the National Economic Council. “Gary was responsible for developing and leading many of the firm’s most important initiatives, and demonstrated deep commitment to our clients, our people and the culture of Goldman Sachs,” Blankfein said. “We thank him for having served as a trusted advisor, dedicated colleague and friend to so many at the firm, and wish him well.”

Several other Goldman alums have been recorded for the Trump administration including Treasury Secretary Steven Mnuchin, White House chief strategist Stephen Bannon, economic assistant Dina Powell, and Deputy Treasury secretary-designate Jim Donovan.

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