Cuts at Wells Fargo may affect almost 26,500 positions

September 21, 2018 - By Billy Entrekin

Employee cut in Wells Fargo may affect almost 26 500 positions

Officials from Wells Fargo are planning to cut their workforce by 5 to 10 percent. After last year’s scandal with fake accounts, there is a new CEO in town and his name is Tim Sloan.

Sloan and his team are currently planning to remove up to 10 percent of the workforce over the next three years. This decision can be explained by the fact that Wells Fargo, one of the biggest banking giants in the USA and abroad, is trying to find ways to save money and remain relevant in the market. After clients began choosing self-service, there was less of a need for branch employees.

Tim Sloan, during an open meeting on Thursday in the town hall, confirmed that there will be both attrition and job displacements.

According to official reports, the bank has 265,000 employees. If the plan is to cut the workforce by 10 percent, it means that this San Francisco-based bank will have to fire at least 26,500 people or reorganize their positions.

This calculation was confirmed by the spokeswoman of the bank, Cynthia Sugiyama.

This employee meeting was the latest one in a series of meetings at Wells Fargo where they discussed upcoming transformations of the company. CEO Time Sloan told the employees about Wells Fargo’s plan to increase their level of competitiveness and recover from the scandal with the unauthorized accounts that happened last year and was the reason for a decrease in the price of the company’s stock.

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