Truist bank discloses plans for ‘sizable’ layoffs as part of $750 million in cuts
Charlotte-based Truist bank warned at an investors conference this week that it will make “sizable reductions” in its workforce as part of $750 million in companywide cuts in expenses.
Truist did not disclose the number of people who would be laid off, but said the actions would happen between the third quarter of this year and the first quarter of 2024. CEO Bill Rogers delivered the presentation at a Barclays Global Financial Services Conference Monday.
The job cuts would result in about $300 million in savings, according to the bank.
‘The main question:’ Does Truist’s $750M in cost cuts and major layoffs go far enough?
Rogers also detailed plans to consolidate the leadership team to have fewer layers of management. In 2019, Atlanta-based SunTrust and Winston-Salem-based BB&T merged in a $66 billion deal to form Truist, and chose Charlotte for the new bank’s headquarters city.
The changes have multiple goals, Truist said, including: simplify the business; accelerate franchise growth; lower growth of expenses; improve its capital position; and align compensation to shareholder return.
As of last year, Truist had more than 3,000 workers in the Charlotte area, part of more than 50,000 employees companywide.
“As we continue to transform Truist to focus on our strengths and drive long-term growth and profitability, we’re hiring in some areas and rightsizing in others through natural attrition and planned staffing reductions,” Truist said in a statement to The Charlotte Observer on Tuesday.
The bank did not respond directly to any questions about its layoff plans.
Truist had assets of $555 billion as of June 30, making it the seventh largest U.S. bank by asset total.
