Layoffs Watch ’16: Bank of America Needs You! (To Help It Cut Billions In Costs)
The good news: cutting four-figures worth of employees last quarter helped Bank of America lower costs by 3.3 percent, to $13.5 billion. The less good news: there’ll be a whole lot more where that came from, as Brian Moynihan is out to prove himself the little CEO that could.
“Many of you give us credit from having managed expenses from $70 billion five years ago” to the mid-$50 billion range today, Moynihan said. “The question is, can we do more?” Further job cuts will come from “hard work” and automation, even as the bank continues to invest in its sales force, he said, adding that operational costs such as data processing and telecommunications will decline. “Every single area is moving here,” and advances in fixed-income and equities electronic trading mean more jobs can be eliminated, Moynihan said.