Bank of America Plans Job Cuts of Up to 13,000

[UpInArms]

http://www.quicken.com/investments/news_center/story/?story=NewsStory/dowJones/20040317/ON200403170049000032.var&column=P0DFP

NEW YORK -- Bank of America Corp. (BAC, news) is planning to cut as many as 13,000 jobs as it completes its acquisition of FleetBoston Financial Corp. (FBF, news), people familiar with the expense cuts told The Wall Street Journal.

The job cuts would come through layoffs and attrition from the operations of both banks and will begin in April to coincide with the expected completion of Bank of America's $48 billion purchase of Fleet, according to these people. The job cuts, which range from 12,000 to 13,000, amount to about 7% of Bank of America and Fleet's combined work force of 181,000.

<snip>

The combination of the two banks, announced in October, will give Bank of America a big footprint in New England, a region in which it has a minimal retail presence. The combination also is a gamble on retail and commercial banking, which account for about two-thirds of Bank of America's earnings. The deal will create the nation's third-largest bank in terms of assets, after Citigroup Inc. (C, news), of New York, and J.P. Morgan Chase & Co. (JPM, news), also of New York, after it completes its acquisition of Bank One Corp.

...more...

[joeunderdog]

1. The "big footprint" in New England is the imprint on the backs

of the 13,000 unemployed workers. The consolidation of business in this area is amazing, from grocery stores to banks. Mom and Pop are dead.

[UpInArms]

2. and so are the futures of their children

:cry:

Why do we even have regulatory agencies under this mal-administration?

This is obscene - to watch them destroy the fabric of our society and to see their "stock" increase makes me :puke:

[0007]

3. It appears everything is slowly coming to a screeching halt!

Everyday we see more layoffs.

[MaineDem]

4. WOW

The other day I read that this merger would cost 400 jobs. Now it's 13,000. What will it be tomorrow?

This needs to remain in the forefront of why we should NOT rehire W.

[revcarol]

5. Isn't it strange

that they announce the impending layoffs AFTER everyone has turned in their proxies for or against the merger?? Can't let a little thing like jobs for American workers be a factor in a stockholder decision, now, can you?

And regulatory agencies think that it's ok for banks to get huge so that they have a stranglehold on consumers and small business, as long as there are three huge ones!!And they will COMPETE so much...NOT.

[Moderator]

6. Please discuss here

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=102x427092