NYSE Group Inc. today announced a workforce reduction of more than 500 positions.

The job cuts include approximately 400 employees and 120 full-time consultants, from its NYSE, NYSE Arca and Securities Industry Automation Corporation business units. ‘This organizational downsizing, which is effective immediately and extends through March 2007 for certain positions, excludes NYSE Regulation and reflects ongoing initiatives to cut costs and improve efficiencies, eliminate duplicate services, and leverage synergies resulting from the March 2006 NYSE-Archipelago merger,” the exchange said.

Since March 2005 when NYSE, Archipelago Holdings, and SIAC had 3,484 employees on a combined pro forma basis, there has been a reduction of over 950 employees; excluding NYSE Regulation, this represents a 35% workforce reduction.

Individuals whose positions are being eliminated will receive separation packages, and those eligible will receive outplacement services and retirement benefits, it added. As part of the terms of NYSE Group’s recent SIAC transaction, approximately 150 SIAC positions which are part of this workforce reduction will become part of the American Stock Exchange.