Bank of America Bracing for Layoffs: Report

bankofamerica Bank of America Bracing for Layoffs: ReportAs the idea of a slowdown for Wall Street’s big players crystalizes, Bank of America is gearing up to lay some people off, according to a report by Fox Business’ Charlie Gasparino.

The cuts are neither very deep nor very wide, according to the report; 5 percent of workers in the company’s least profitable businesses stand to lose their jobs. Gasparino’s sources are saying that the move is an attempt to avoid having to pay year-end bonuses. For the second quarter, BofA reported lowered profit and revenue thanks in part to a more than 50 percent decline in investment bank trading revenue.

The report follows predictions by bank analyst Meredith Whitney that thanks to a very slow year, banks will collectively be forced to reduce headcount by between 40,000 and 80,000 employees.

Gasparino also said that Goldman Sachs and Morgan Stanley analysts are gearing up for lowered bonuses this year.

Comments

  1. Victoria says:

    I just heard on HLN the layoffs will include over 100,000 workers; that sounds like a big layoff to me. Also, the Post Office is laying off over 30,000.  In an already hurting high unemployment economy, this sounds pretty serious to me. 

  2. 15 billion in bailout money(150 billion in fractional reserve banking terms) billions in .05% interest loans secretly from the FED. Now 40000 (yes forty thousand) are gonna lose thier jobs, Does the greed ever stop? Or do I smell another banking bailout for the king of to big to fail bank.