| June 15
June 15 Bank of America Corp has begun
laying off employees in its operations and technology division,
part of the second-largest U.S. bank's plan to cut costs.
On Wednesday the bank cut jobs across that division, many of
which came from its Charlotte, N.C., headquarters, a spokesman
said. He would not specify the number of jobs lost.
The cuts come as Bank of America is aiming to cut costs to
boost financial targets Chief Executive Brian Moynihan has set.
Although Bank of America is also hiring, the employees that
it is trying to reduce cost more than those who are joining,
Moynihan said at a conference last month. The bank has also been
cutting costs by shuttering data centers and moving information
to less costly systems run by technology firms.
For any large bank, technology and operations costs run
high. Old systems are reliable but dated, while new ones are
expensive to develop.
Separately, at a conference on Wednesday, Chief Operating
Officer Tom Montag said the global banking and markets unit has
roughly 1,300 applications that cost about $1.3 billion to
maintain and run. As the bank sorts through those platforms and
decides which to eliminate, some jobs will be lost, said
spokesman Dan Frahm.
The Charlotte Observer first reported layoffs at Bank of
(Reporting by Dan Freed in New York and Subrat Patnaik in
Bengaluru; Editing by Sunil Nair)