AUGUST 27, 2024 — 70 EMPLOYEES IN DENVER, COLORADO
The company plans to shutter its Global Operations office in Greenwood Village. The closure will impact 70 employees and begin at the end of the third quarter and continue through the end of the year.
OCTOBER 1, 2023 — 525 EMPLOYEES IN SOUTH CAROLINA, ANOTHER 316 IN OREGON
Wells Fargo has announced plans to lay off 525 employees in Columbia, South Carolina by June 30, 2024.
According to a spokesperson, “We regularly review and adjust staffing levels to align with market conditions and the needs of our businesses. We work very hard to identify opportunities for employees in other parts of the company so we can retain as many employees as possible. Where it’s not possible, we provide assistance, such as severance and career counseling.”
Additionally, Wells Fargo has announced plans to lay off 316 call center employees in Hillsboro, Oregon by the end of October 2023.
JULY 15, 2023 — 103 EMPLOYEES IN ORLANDO, FLORIDA
The bank will lay off 103 employees in its consumer and small business banking operations group in Orlando, Florida.
According to a company spokesperson, “We regularly review and adjust staffing levels to align with market conditions and the needs of our businesses. We work very hard to identify opportunities for employees in other parts of the company so we can retain as many employees as possible. Where it’s not possible, we provide assistance, such as severance and career counseling.”
FEBRUARY 5, 2023 — 140 IN SPRINGFIELD, ILLINOIS
140 workers in its home lending division in Springfield, Illinois targeted for separation.
JANUARY 10, 2023 — WELLS FARGO TO CUT MORTGAGE BUSINESS AND LEAVE CORRESPONDENT LENDING. LOOK FOR ADDITIONAL LAYOFFS
The company has announced today strategic plans to create a more focused Home Lending business aimed at serving bank customers, as well as individuals and families in minority communities.
Notably, the company is exiting the Correspondent business and plans to reduce the size of its Servicing portfolio.
These plans continue the work the company has advanced over the past three years to simplify this business.
Kleber Santos, CEO of Consumer Lending…
“Mortgage is an important relationship product, and our goal is to continue to be the primary mortgage lender to Wells Fargo bank customers as well as minority homebuyers. We are making the decision to continue to reduce risk in the mortgage business by reducing its size and narrowing its focus,” said Kleber Santos, CEO of Consumer Lending. “As the largest bank lender to Black and Hispanic families for the last decade, we remain deeply committed to advancing racial equity in homeownership.”
In addition to exiting the Correspondent business and reducing the size of its Servicing portfolio, Wells Fargo’s strategic plans include:
DECEMBER 4, 2022 — HUNDREDS OF MORTGAGE-RELATED EMPLOYEES LAID OFF QUIETLY
According to a company spokesperson, “We regularly review and adjust staffing levels to align with market conditions and the needs of our businesses,”
It is believed that the number of Wells Fargo employees laid off in 2022 numbers in the thousands.
SEPTEMBER 26, 2022 — ANOTHER 36 IN IOWA
In the bank’s tenth round of layoffs since April, another 36 mortgage-related employees in Des Moines, Iowa, were added to bring the total to 402 workers. All attributed to rising interest rates and a slowdown in the home mortgage sector.
According to a company spokesperson, "We regularly review and adjust staffing levels to align with market conditions and the needs of our businesses. We work hard to identify opportunities for employees in other parts of the company so we can retain as many employees as possible. Where it’s not possible, we provide assistance, such as severance and career counseling."
SEPTEMBER 1, 2022 — 75 LAYOFFS IN IOWA
In the ninth round of layoffs since April 2022, the company will lay off 75 Iowa employees in Ankeny, Clive, Des Moines, and West Des Moines between September 28, 2022, and October 25, 2022.
The decision was driven by the downturn in mortgage originations, refinancings, and increased interest rates. According to a company spokesperson, “Employee reductions are never easy. We regularly review and adjust staffing levels to match needs while also continuing to invest in our businesses and working to improve our customer’s experience."
AUGUST 18, 2022 — WELL FARGO TO CUT BACK ON MORTGAGE OPERATIONS. LAYOFFS AHEAD
According to a company spokesperson, “Wells Fargo is committed to supporting our customers and communities through our home-lending business. Like others in the industry, we’re evaluating the size of our mortgage business to adapt to a dramatically smaller originations market. We’re also continuing to look across the company to prioritize and best position us to serve our customers broadly.”
Affected entities will also include correspondent lending and servicing operations.
CEO Charlie Scharf told analysts, “We’re not interested in being extraordinarily large in the mortgage business just for the sake of being in the mortgage business. We are in the home-lending business because we think home lending is an important product for us to talk to our customers about, and that will ultimately dictate the appropriate size of it.”
JULY 5, 2022 - 107 LAYOFFS IN DES MOINES, IOWA
Wells Fargo's home mortgage division, based in Des Moines, laid off 107 employees bringing the total laid off since April 21, 2022, to 197 with more layoffs expected.
APRIL 23, 2022 — MORE LAYOFFS IN MORTGAGE OPERATIONS
Wells Fargo has announced its plans to start laying off home lending operation staff, including processors, underwriters, and credit administration team members, after reporting a sharp decline in home lending revenues in the first quarter of 2022.
According to a company spokesperson, “We are carrying out displacements in a transparent and thoughtful manner and providing assistance, such as severance and career counseling. Additionally, we are committed to retaining as many employees as possible and will do everything we can to help them identify other opportunities within Wells Fargo.”
Higher interest rates and lower origination and refinancing volumes are problematic.
JULY 9, 2021 — WARNING TO EMPLOYEES WORKING ON PERSONAL CREDIT LINES
Wells Fargo & Co. has announced that it is committed to eliminating personal lines of credit to concentrate on credit cards and personal loan services
According to a company spokesperson, “As we simplify our product offerings, we made the decision last year to no longer offer personal lines of credit as we feel we can better meet the borrowing needs of our customers through credit card and personal loan products.”
“We realize change can be inconvenient, especially when customer credit may be impacted. We are providing a 60-day notice period with a series of reminders before closure, and are committed to helping each customer find a credit solution that fits their needs.”
Beware, changes are afoot.
JUNE 18, 2021 — 19 MORE BRANCHES CLOSING
Wells Fargo & Co. is closing 19 more branches, and they have filed 184 applications for branch closures with their regulators at the Office of the Comptroller of Currency so far in 2021.
MAY 18, 2021 — MORE BRANCHES CLOSING
According to Wells Fargo’s regulator, the Office of the Comptroller of the Currency, 160 applications to close branches in Pennsylvania, Maryland, Arizona, Virginia, Georgia, New York, Connecticut, Utah, Illinois, Colorado, and South Carolina were filed on May 11, 2021.
According to published reports, Wells Fargo closed 329 of its 5,200 branches in 2020 and plans to close about 250 this year — having closed 117 already.
MARCH 25, 2021 — CORPORATE TRUST SERVICES BUSINESS TO BE SOLD
The company has definitively agreed to sell its Corporate Trust Services business to Melbourne, Australia-based Computershare, a stock transfer company that provides corporate trust, stock transfer, and employee share plan services. The transaction is scheduled to close in the second half of 2021, pending the customary shareholder and regulatory approvals.
According to a company spokesperson, “This transaction is consistent with Wells Fargo’s strategy of focusing on businesses that are core to our consumer and corporate clients. Additionally, we believe that Computershare’s similar approach to service and their emphasis on innovative product development will be valuable to our clients and Corporate Trust Services colleagues in the future.”
FEBRUARY 23, 2021 — ASSET MANAGEMENT BUSINESS SOLD
The company has announced that it will sell Wells Fargo Asset Management to private equity managers GTCR LLC and Reverence Capital Partners for $2.1 billion.
The Asset Management group has 450 employees located in 24 offices. Wells Fargo will own a 9.9% equity interest in the enterprise and will continue to partner with the new entity.
A company spokesperson noted, “Operating as an independent firm as a portfolio company of GTCR and Reverence Capital will provide numerous benefits to WFAM’s clients, employees, and strategic partners, including Wells Fargo. At the same time, this transaction reflects Wells Fargo’s strategy to focus on businesses that serve our core consumer and corporate clients and will allow us to focus even more on growing our wealth and brokerage businesses.”
FEBRUARY 2, 2021 — 320 EMPLOYEES IN GLEN ALLEN, VIRGINIA
The bank’s investment management and financial brokerage business unit will be laying off 320 wealth and investment management employees at the Innsbrook Corporate Center located in Glen Allen, Virginia, and transferring those functions out-of-state to Minneapolis, Minnesota and St. Louis, Missouri.
According to a company spokesperson, “We are simplifying the way we do business. As a result, we are moving some WIM [wealth and investment management] roles out of Richmond, Va., to our larger locations between the 2nd and 3rd quarter of 2021.
JANUARY 28, 2021 — MASS LAYOFFS ON THE HORIZON
“We are at the beginning of a multi-year effort to build a stronger, more efficient company and improve the experience for our customers, employees, communities, and shareholders. The work will consist of a broad range of near, medium- and long-term actions, including workforce reductions, to bring our expenses more in line with our peers and create a company that is more nimble, streamlined, and customer-focused.
As part of our efforts to strengthen the foundation of our company, we will have workforce reductions in most geographies across our footprint and nearly all of our business lines and functions, and expect to reduce the size of our workforce through a combination of attrition, the elimination of open roles, and job displacements. We are executing this work in a thoughtful and deliberate manner, and we will communicate openly and honestly with impacted employees and provide severance, career assistance, and other services to assist them.”
JANUARY 14, 2021 — MANAGEMENT ADVISES DETAILS OF COST-CUTTING PLAN WILL BE IN Q4 REPORT
CEO Charlie Scharf has announced that the company will provide more details on the continuing turnaround plan when the bank reports Q4 earnings. A reason why employees of public companies should own at least one share of the company’s stock and subscribe to all shareholder notices.
DECEMBER 22, 2020 — EMPLOYEES BEWARE. THE DIVESTITURE CONTINUES.
The company has announced its agreement to sell its private student loan portfolio to investors with the transaction scheduled to close in the first half of 2021. With the conclusion of the sale, the portfolio will be serviced by Firstmark, a subsidiary of Nelnet, Inc. This impacts everybody that originates or services these loans who are employed directly by the company.
The divestitures continue… Centurion Life Insurance going to Bestow, the digital life insurance platform, and Global Alternative Investments Feeder Fund Platform going to Capital, a financial technology firm.
OCTOBER 26, 2020 — EXPLORING THE SALE OF MORE CORPORATE ASSETS
It appears that the bank is also exploring the sale of its corporate trust unit and its student loan portfolio.
OCTOBER 23, 2020 — IS THE HANDWRITING ON THE WALL FOR THE ASSET MANAGEMENT GROUP?
Published reports in credible financial publications suggest that the bank is exploring the sale of its asset management business. Some suggest that this is in preparation for an unknown future where client loss could severely impact the bank’s performance. Of course, no deal could be consummated, but costs trimmed by a reduction in force.
OCTOBER 14, 2020 — MORE THAN 100 EMPLOYEES FIRED FOR COVID-19 RELIEF FUNDS FRAUD
Wells Fargo has announced the dismissal of more than 100 employees who they allege defrauded the Small Business Administration “by making false representations in applying for coronavirus relief funds for themselves.”
According to a company spokesperson, “We have terminated the employment of those individuals and will cooperate fully with law enforcement. These wrongful actions were personal actions, and do not involve our customers.”
OCTOBER 7, 2020 — 700 EMPLOYEES TARGETED AS PART OF $10 BILLION COST CUTTING PROGRAM
The company has started laying off 700 employees in its commercial banking division while claiming “We have not set targets for a total number of job displacements.
JANUARY 22, 2020 — DANGER NEW CEO AND A ROUGH RIDE AHEAD
Traditionally new CEOs seek to cut costs using divestitures, closures, and reductions in force within the year after their ascendancy to their lofty position.
Will the ascendancy of the new Wells Fargo CEO, Charles Scharf, in October 2019, resulting in closures, divestitures, and a major reduction in headcount?
Speaking on his first earnings call, Scharf noted, “Just to be clear, we are well aware that our expense levels are significantly too high. And though we've had pockets of strong performance, we're also well aware that our rate of customer and revenue growth is too low. I know you will want to know time frames and targets, but please understand that it's too early after less than three months at the company. We have just begun the process to rethink our plans for 2020 and beyond in a different level of detail. While the opportunities for improvement are clear at the macro level, we need business by business plans.”
OCTOBER 18, 2019 — WELLS FARGO CLOSING THE CONCORD, CALIFORNIA CALL CENTER — 350 POSITIONS ELIMINATED
According to a company spokesperson, “Wells Fargo has made the difficult decision to close our Concord customer contact center in the first half of 2020. This business decision enables us to streamline and optimize our contact center operations at a time when our lease is expiring.”
“Wells Fargo consumer customers contacting Wells Fargo for service will experience no negative impacts. Customer interactions normally received by team members at the Concord location will route to other domestic contact centers across our footprint.”
MARCH 18, 2019 — WELLS FARGO IN DIVESTITURE TALKS WITH PRINCIPAL FINANCIAL GROUP
The handwriting may be on the wall for employees in the retirement services unit.
It appears that Wells Fargo may be selling its retirement plan services unit, including the 401(k) savings account business to the Principal Financial Group to meet regulatory restrictions following the “fake accounts” scandal.
The price is said to be $1+ billion and would represent a potential loss of jobs as the two companies adjust to the acquisition and eliminate redundancies in functions and positions. The handwriting may be on the wall for employees in the retirement services unit.
NOVEMBER 15, 20118 — WELLS FARGO ANNOUNCES PLANS TO ELIMINATE 1,000 EMPLOYEES
Perhaps to counter the massive fines and poor stock market performance, Wells Fargo has announced plans to reduce their headcount by at least 1,000 workers in their Consumer Lending and Payments, Virtual Solutions, and Innovations groups.
Especially hard hit is the company’s home lending function which has seen a reduction in both loan applications and one the back-end, borrower defaults.
This should come as no surprise to employees who were told previously that Wells Fargo would be conducting a reduction-in-force of 26,000 over a three-year period.
AUGUST 24, 2018 WELLS FARGO LAYS OFF 638 IN MORTGAGE LENDING OPERATIONS
As a direct consequence of the downturn in mortgage originations and refinancing activity, plus the decrease in loan defaults, Wells Fargo has laid off 638 people in its "retail fulfillment and default servicing teams" in the states of California, Colorado, Florida, and North Carolina.
In the expected perfunctory corporate-speak statement, a spokesperson noted, "After carefully evaluating market conditions and consumer needs, we are reducing to better align with current volumes. The decision to reduce our workforce is made with great concern for our team members.”
MAY 11, 2018 — Original Post...
Wells Fargo, beset by scandal and increased regulatory scrutiny has announced that it will lay off 593 works at its Winterville Dealer Service Center near Greenville, North Carolina with the work being distributed to other Wells Fargo facilities in Raleigh, North Carolina, Minneapolis, Chandler, Arizona, and Irving Texas.
It has been reported that the layoffs are directly attributable to Wells Fargo’s decision to close its Wells Fargo Auto, Corporate Finance, Corporate Risk, Enterprise HR Solution, Enterprise Information Technology, Marketing, Operations, and Operational Risk and Compliance business units at the Winterville facility
It is no secret that the automotive lending industry is under intense scrutiny as regulators attempt to impose many of the same financial controls and consumer disclosures that are found in other financial sectors, namely the mortgage industry. Or that Wells Fargo is responsible for over $1 billion in fines and penalties for past behavior.
In the end, the costs of any malfeasance or financial improprieties are borne by the shareholders, the depositors, and most of all, the employees.
Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?
