If there were one firm on Wall Street that could be expected to weather the credit crisis storm without having to make deep cuts in headcount it would be Goldman Sachs.

You can throw that thought out the window. The street's most profitable investment bank began making cuts last week and is expected to cut 10 percent of their investment banking staff over the course of the year according to the Financial Times.

Even after earning over $2 billion dollars last quarter, Goldman sees the writing on the wall and has joined the herd of financial firms to reduce their most expensive expense, headcount.

Goldman, in common with the rest of the industry, has been gradually shedding staff this year, or sending bankers previously based in the US and Europe to the Middle East and Asia, where business remains buoyant. Group headcount fell by about 400 between the first and second quarter.

Credit Suisse has also announced cutting 75 job cuts in investment bankings in the London, while Citigroup is in the process of letting go 10 percent of their investment banking staff.