Bank of America Corp. has announced that they are planning to fire 3,500 workers before the end of the current quarter as part of a plan to overhaul the company.
Speaking to the Wall Street Journal an insider says the company will likely cut an additional 6,500 jobs after initial cuts are completed, disposing of 3.5% of their work force.
In a memo to company managers last night CEO Brian Moynihan wrote:
“I know it is tough to have to manage through reductions,” while adding, “But we owe it to our customers and our shareholders to remain competitive, efficient and manage our expenses carefully.”
The firings are part of “Project New BAC” which is an effort by Moynihan and his board of directors to boost company profits and ultimately stock prices which are down 47% on the year.
Along with the firing of 3,500 workers the company plans to close 750 branches over the next few years.