Goldman Sachs hires former EU Commission chief Barroso

Goldman Sachs has hired ex-head of the European Commission Jose Manuel Barroso to be an advisor and non-executive chairman of its international business, as the U.S. bank tries to come to terms with with the aftermath of Britain’s exit from the European Union.

Barroso was president of the European Commission, the EU’s executive branch, for 10 years and was prime minister of Portugal from 2002 to 2004.

Goldman Sachs and other U.S. investment banks are seen as particularly vulnerable to Brexit as they rely on the EU’s “passporting” scheme, which allows them to offer services across Europe while basing most of their staff and operations in the UK.

Banks have warned that if their British offices lose their “passports” they will have to move some employees and business units to alternative bases in the within the bloc.

Goldman Sachs International, which Barroso will head, is headquartered in London and of its roughly 6,000 staff 5,000 of them are based in Britain.

Barroso is credited with helping the euro zone survive the 2009-13 debt crisis by establishing a financial rescue fund, enforcing stricter budget rules and tightening financial regulation.

Barroso was president of the European Commission for 10 years

He was also a signatory to the Lisbon Treaty that overhauled the bloc’s complex institutions after French and Dutch voters rejected a European constitution.

Barroso will help the firm as it provides advice to clients on dealing with the ensuing “challenging and uncertain economic and market environment,” Goldman Sachs International co-chiefs Michael Sherwood and Richard Gnodde said in the statement.