The banks have been bailed out, yet there is still trouble in paradise. As the fall season is settling in, so is the very real layoff season at the nation’s largest bank. Hopefully, this is not a ploy for the bank to get in on President Obama’s jobs plan for some sort of back door bailout.
According to CNN Money, Bank of America plans to eliminate 30,000 jobs over the next few years, but plans to chop 6,000 jobs this year. They claim that a “significant portion” of the bank’s job eliminations will come through attrition and the elimination of positions that have not been filled. Ummmhuh! What’s a significant portion to them, I wonder?
The new management structure for the bank will divide into two entities of business; commercial and consumer. And to be honest, I thought that was already the structure of all financial institutions. Maybe they’re adding something within those two areas of business that we’re not aware of. But, be that as it may, they are expecting it to cause a management “shakeup.”
A lot of the bank’s problems began with their acquisition of Countrywide; the country’s largest sub-prime lender at the time. They recently settled a lawsuit for $8.5 billion over their shady mortgage investments. The banks CEO, Brian Moynihan, was asked if they will simply bankrupt Countrywide and he replied that they are “looking at all options.” Which means? It’s goin’ down!
Check out more scary news on the bank here.