Layoffs at Ocwen Financial Corp.’s servicing unit topped the latest round of mortgage-related layoffs. A Tennessee bank is eliminating loan officers who originate from branches and directing the business to its phone and online originators, and Wells Fargo & Co. has been busy with layoffs. Hundreds of employees at a failed bank were not hired by the acquiring institution.
In May, Ocwen Loan Servicing LLC announced plans to acquire North Highlands, Calif.-based HomEq Servicing from Barclays Bank PLC.
After its acquisition was complete, West Palm Beach, Fla.-based Ocwen advised the State of California in a Worker Adjustment and Retraining Notification that 452 employees in North Highlands were laid off last month, and another 453 were let go on Nov. 19.
In addition, a WARN notice filed with the North Carolina Department of Commerce indicated Ocwen laid off 242 people at a Wake County, N.C., facility on Oct. 31.
In Des Moines, Iowa, Wells Fargo Financial made 150 job cuts this month, with the final total in the area expected to end up at 350 by the time all of the layoffs have been completed — lower than 1,000 originally estimated — The Des Moines Register reported. The layoffs, which were fewer than expected because of re-assignments, will reportedly number 250 nationally in November, with the final U.S. tally estimated at 3,400 — down from the original 3,800 estimate.
In the town of Rancho Cordova, Wells Fargo Home Mortgage plans 101 layoffs during December, according to a WARNÂ filing with the California Employment Development Department.
A filing in Pennsylvania indicated that 93 Wells Fargo customer fulfillment and servicing credit &Â loss mitigation employees were laid off in Reading on Oct. 15.
In April, First Interstate Financial Corp. laid off 170 employees in Shrewsbury, N.J., according to a filing with the state’s Department of Labor and Workforce Development.
First Interstate surrendered its New York License on June 11, while the company notified its mortgage brokers customers in February 2009 that it was shutting down its wholesale lending division. As of Friday, First Interstate’s Web site was not working.
GMACÂ Mortgage LLC reported to the State of California that 139 layoffs occurred on April 5 in Costa Mesa. The layoffs were apparently part of 269 ditech-related layoffs disclosed in February.
Saxon Mortgage Services parent Morgan Stanley said in June that it would cut 1,000 U.S. and foreign jobs, including some at its domestic mortgage unit, the Associated Press reported.
In a cost-cutting move, First Tennessee Bank N.A., is laying off 40 mortgage employees throughout Tennessee in the Fourth quarter, the Knoxville News Sentinel reported. First Tennessee Mortgage Production Manager Joel Graybeal reportedly told the paper that branch-based originators will be eliminated by the end of this year, and originations will be re-directed to Internet and telephone origination channels.
More than 200 of the 764 employees of 103-year-old TierOne Bank, which failed in June, were not hired by Great Western Bank, which acquired the Lincoln, Neb.-based institution from the Federal Deposit Insurance Corp., published reports indicated.
Pan American Mortgage LLC reported to the Illinois Department of Commerce and Economic Opportunity that two Chicago employees were laid off on Aug. 15.
The following banks notified state employment regulators about the following layoffs.
