Save Money in this Sunday's paper

comments

Bank of America cutting technology jobs, some in Charlotte

Bank of America said Wednesday it is laying off an undisclosed number of technology workers, including some in Charlotte.

The cuts are within the bank’s Global Technology and Operations business line, which employs about 100,000 worldwide. The head of the unit, Cathy Bessant, is based in Charlotte.

The bank said the laid-off workers are in “multiple locations” but did not name specific sites.

Wednesday’s layoffs come as the bank continues to trim its workforce under CEO Brian Moynihan’s cost-cutting initiative known as Project New BAC, a plan that calls for the bank to save $8 billion a year by mid-2015. Last year, the bank eliminated 25,073 jobs, leaving it with 242,117 employees at the end of December, according to a securities filing last week.

“These notifications reflect previously announced efforts to reduce our size, resolve legacy issues and simplify the company for our customers and clients,” the bank said in a statement. The bank said it will help the laid-off workers, including trying to find them other jobs in the company.

The bank declined to provide details on the technology jobs being cut in Charlotte. One Bank of America technology employee who works in Charlotte told the Observer that the laid-off employees worked both inside and outside the U.S.

The employee, who spoke on condition of anonymity, recounted giving two-week notices to four employees on Wednesday. Two of the employees work in the U.S., but not in North Carolina, while the other two work outside the U.S., the employee said.

The employee said the layoffs come at a time when overhead in the bank’s technology operation has been under scrutiny.

“We need to eliminate a lot of the older and overarchitectured infrastructure,” the employee said.

The employee noted that the bank has cut other technology jobs in Charlotte in recent years but could not provide a figure.

Bank of America also has cut jobs in its mortgage unit in the past year. Like some other banks, Bank of America has laid off mortgage workers in part because borrower demand to refinance mortgages has declined amid a rise in mortgage rates.

Under Project New BAC, the bank has also cut branches. Last year, it trimmed 327 U.S. locations, leaving it with about 5,151.

Bank of America declined Wednesday to disclose what types of jobs the laid-off workers performed.

Moynihan said last week that the bank spends $3 billion a year developing technology, in areas such as mobile banking.

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