Wells Fargo has announced that it will cut about 1,000 jobs across the country – 900 of which will be in its home lending unit.
The company is eliminating positions in its Consumer Lending and Payments, Virtual Solutions and Innovations groups, according to a NewsMax report. The cuts to the home lending unit are due to declines in mortgage application volume and the number of customers in default, bank spokesman Tom Goyda told NewsMax.
Four hundred of the home lending cuts will come in Des Moines, Iowa, where Wells Fargo is the single largest private employer. Local Wells Fargo spokesman Steve Carlson told The Des Moines Register that the bank notified affected employees of the layoffs Thursday.
“This very difficult decision was made following much though and careful consideration,” Carlson told the Register. “It in no way reflects the quality or performance of these team members. The team members affected by these cuts have each been an essential part of our success.”
Wells Fargo’s national home mortgage division is based in Des Moines. The bank employs about 14,000 people in the Des Moines metropolitan area, according to the Register.
The cuts aren’t entirely unexpected. The scandal-plagued bank announced in September that it planned to cut its workforce by up to 26,450 jobs over the next three years.