Save Money in this Sunday's paper

comments

Wells Fargo announces 763 layoffs, none in Charlotte

Wells Fargo continues to trim its mortgage operation, announcing Wednesday the layoffs of 763 employees.

None of the affected workers are in the Charlotte area, spokesman Josh Dunn said in an email.

The San Francisco-based bank did not provide a geographic breakdown of the cuts. At least some of the layoffs will be in St. Louis.

On Wednesday, the St. Louis Post-Dispatch reported that the bank laid off 126 consumer mortgage employees in that city.

The staff reductions come as the bank reports that higher interest rates are resulting in lower demand among homeowners for refinancings.

The percentage of mortgage applications stemming from refinancings has been falling for Wells since the fourth quarter. Refinancings comprised 54 percent of mortgage applications in the second quarter, down from 69 percent a year ago, the bank reported.

Last month, The Des Moines Register reported that Wells Fargo told 350 mortgage and retail lending employees that their positions are being eliminated.

Dunn said Wednesday that the bank is committed to retaining as many of the workers as it can and is working to identify other job opportunities within Wells Fargo.

Charlotte-based Bank of America is also cutting mortgage staff.

Bloomberg News said Wednesday that the second-largest U.S. lender told Pennsylvania regulators it will cut 209 jobs from a unit servicing troubled mortgages.

The firm is eliminating the positions by Sept. 30, according to a notice released Tuesday on the Pennsylvania Department of Labor’s website.

Bank of America spokeswoman Jumana Bauwens said in an email that the bank alerted the employees in June.

“Previously, Bank of America announced intentions to reduce the size of our mortgage servicing operations in line with the successful reduction of our portfolio of delinquent mortgage customers,” she said. “Compared to peak levels in 2011, today we have fewer than half the numbers of customers who need the specialized programs and support of this team. We will not sacrifice service to our customers in need of assistance.

“Bank of America has a strong track record for helping our employees identify opportunities both in and outside of the bank.”

Bank of America’s employee headcount fell an additional 2 percent in the second quarter, hitting just more than 257,000.

The quarter pushed the bank past the 30,000 total job cuts that executives targeted when they started a massive companywide cost-cutting program known as Project New BAC.

Roberts: 704-358-5248; Twitter: @DeonERoberts
Hide Comments

This affects comments on all stories.

Cancel OK

The Charlotte Observer welcomes your comments on news of the day. The more voices engaged in conversation, the better for us all, but do keep it civil. Please refrain from profanity, obscenity, spam, name-calling or attacking others for their views.

Have a news tip? You can send it to a local news editor; email local@charlotteobserver.com to send us your tip - or - consider joining the Public Insight Network and become a source for The Charlotte Observer.

  Read more



Hide Comments

This affects comments on all stories.

Cancel OK

The Charlotte Observer welcomes your comments on news of the day. The more voices engaged in conversation, the better for us all, but do keep it civil. Please refrain from profanity, obscenity, spam, name-calling or attacking others for their views.

Have a news tip? You can send it to a local news editor; email local@charlotteobserver.com to send us your tip - or - consider joining the Public Insight Network and become a source for The Charlotte Observer.

  Read more


Quick Job Search
Salary Databases