By Rick Rothacker/McClatchy Newspapers
CHARLOTTE, N.C. – Bank of America Corp. said Monday that the first phase of its cost-cutting program is expected to eliminate 30,000 jobs over the next few years.
The reductions will come in consumer banking and other areas covered by the first phase of the program, called Project New BAC after the bank’s stock ticker. The bank said attrition and the elimination of “appropriate unfilled roles” will be a “significant part” of the decreased number of jobs.
The Charlotte bank employs about 288,000 worldwide; the job cuts would equal a little more than 10 percent of the workforce.
At an investor conference Monday morning, Bank of America Chief Executive Brian Moynihan said the bank planned to slash $5 billion in annual expenses in the first phase of the efficiency program.
The reduction amounts to 18 percent of the $27 billion in expenses Bank of America tallied for consumer banking, credit card, home loans, technology and operations and other support functions in the year that ended March 31. The cost savings will be fully achieved by the end of 2013, Moynihan said at an investor conference in New York.