As residential loan performance continues to improve, Ditech Financial LLC has decided to reduce its mortgage servicing staff in the South.
The subsidiary of Walter Mortgage Investment Management
Corp. plans to make the job cuts at a location in Greensboro, North Carolina.
In all, there were 65 employees who were advised on Friday about their impending layoffs, which are scheduled to take place on Sept. 21.
The details were provided in a filing with the North Carolina Department of Commerce as required by the federal
Worker Adjustment and Retraining Notification Act.
The WARN filing indicated that the layoffs
were “Closure/Permanent.”
A Ditech statement indicated that the layoffs are a result of improving loan performance as U.S. loan defaults continue to decline.
“This shift in the market environment led us to reevaluate our operating model,” the statement said. “To ensure we are meeting the demands of the current and future environment while also operating efficiently, we have redesigned our collections and loss mitigation roles, and have made the decision to consolidate some servicing and technology functions to our larger operations sites to gain greater efficiencies across our business.”
Word of the Greensboro layoffs comes less than three months after Tampa, Florida-based Ditech advised the Missouri Division of Workforce Development of 103 potential servicing layoffs at a location in Earth City.
However, Ditech subsequently clarified that all of those employees are being offered jobs in loan originations as the location converts to a production facility. In addition, more hires in the St. Louis market are planned for the Earth City location.
