Hundreds of servicing positions are being eliminated in North Texas as Bank of America Corp. continues to make progress on distressed home loans. The latest round of layoffs are on top of nearly 2,000 mortgage positions that have been eliminated so far this year.
A total of 651 layoffs were tracked by Mortgage Daily for BofA in the first quarter, down from 700 in the final quarter of last year.
Last month’s closing of a mortgage facility in New York impacted 1,320 jobs — though around half of those employees were expected to be hired by M&T Bank Corp.
Now the Charlotte, N.C.-based company has turned its cost-cutting sites to Texas.
A pair of Workers Adjustment Retraining Notifications filed this month with the Texas Workforce Commission indicate that 411 employees in the Lone Star State are being laid off.
Dallas is the location of 87 of the layoffs, while the Dallas-suburb of Richardson is where the other 324 employees are located.
The layoffs will take place on Sept. 30, according to the WARN filings.
“Previously, Bank of America announced intentions to reduce the size of our mortgage servicing operations in line with the successful reduction of our portfolio of delinquent mortgage customers,” a statement provided by a spokeswoman explained. “Compared to peak levels in 2011, today we have fewer than half the numbers of customers who need the specialized programs and support of this team.”
The Charlotte, N.C.-based company said that it continues to make strong progress with borrowers in need of assistance.
Some of the impacted Texas employees could be picked up by another department within BofA.
“Bank of America has a strong track record for helping our employees identify opportunities both in and outside of the bank,” the statement said.
Still, Texas continues to be a strategic employment location for BofA, which said that it employs more than 26,000 people in the state.
