Bank of America has announced tentative plans to cut as many as 35,000 jobs nationwide over the next three years, in part to “eliminate redundancies” caused by its acquisition of Merrill Lynch & Co. earlier this year.
According to a statement posted this afternoon on the company’s Web site, “Bank of America expects to have a final plan early in 2009 and estimates it will project the reduction of approximately 30,000 to 35,000 positions over the next three years. A final number will not be determined until early 2009.”
Details as to specific reductions in communities or by business line have not been determined, the bank said.
The staff reductions will come from both Bank of America and Merrill Lynch. As many reductions as possible will be made through attrition, the bank said, and severance and other benefits will be provided for those associates whose jobs are eliminated and who cannot be offered another position.
Bank of America operates approximately 300 branches in Massachusetts, and employs about 9,000, according to Ernesto Anguilla, a bank spokesperson.
“It’s just too early to know” who or how many employees may be affected, Anguilla said.
In addition to increasing efficiency, current weak economic conditions were also cited as a reason for the massive headcount reduction.
Shareholders of both Bank of America and Merrill Lynch voted to approve the transaction last week, and Bank of America is currently targeting a closing on Jan. 1.