James Gorman will take charge of Morgan Stanley's floundering brokerage unit, reports the Bloomberg.

At Merrill, Gorman previously headed the firm's Global Private Client Group and was recently promoted to executive vice president of Corporate Acquisitions, Strategy and Research. Gorman led a turnaround at Merrill by slashing one-third of Merrill's 20,000 brokers, closing one-quarter of its total branches and focusing on higher-net worth clients, according to Bloomberg.

Morgan recently began cutting approximately 1,000 brokers from its 10,500-strong force. Further cuts at the firm will be "up to James Gorman. That's going to be his call," John Mack, chief executive of Morgan Stanley told Bloomberg.  

Correction: A previous version of this article mistakenly attributed the last quote to former Morgan Stanley CEO, Phillip Purcell, instead of current CEO John Mack. Purcell agreed to step down as CEO in June.

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