Bank of America is cutting 3,500 jobs this quarter and working on a restructuring that will reduce thousands of additional positions, the Wall Street Journal reported. Sensitive to the ups and downs of the global economic cycle, international banks have announced close to 50,000 job cuts, starting now and continuing in coming years.
HSBC and Lloyds Banking Group have announced the biggest cuts. The job cuts at Bank of America, expected to be completed by the end of September, are spread across the company including investment banking and trading, the report said. Meanwhile, a thousands of additional reductions are expected as part of an overhaul known as Project New BAC.
The executives at the bank are still discussing the possible range of cuts, but atleast 10,000 jobs are likely to be eliminated, the report said.
Bank of America is also planning to sell its $8.6 billion Canadian credit card portfolio to TD Bank Group. The bank has lost more than $22 billion in its consumer mortgage division in the last four quarters.
Besides, it agreed in June to pay $8.5 billion to mortgage securities investors and is fighting numerous lawsuits challenging the settlement and other mortgage issues.
Bank of America is an American multinational banking and financial services corporation and serves clients in more than 150 countries serves clients in more than 150 countries.
