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Wells Fargo could move jobs to Asia


Wells Fargo could move jobs to Asia

Wells Fargo could move jobs to Asia
US bank Wells Fargo could move a large amount of finance jobs to Asia as it sets about running a company-wide cost-cutting programme.

The lender is hoping to trim around $1.7 billion in quarterly expenses by the end of 2012 and this might include creating positions in India and the Philippines.

The organisation's spokesperson Bridget Braxton said that roles in its retirement division and technology could be moved abroad as part of the streamlining process, although she did not say how many jobs would be lost in the US.

She added that employees at the bank had been told that the idea was being looked into.

Last year, Wells Fargo said that it wanted to cut its expenses by $1.5 billion a quarter to around $11 billion by the end of 2012. Despite this, costs rose in the first three months to $13 billion, reports Bloomberg, and chief executive officer John Stumpf admitted that expenses could also surpass its $11 billion target.

"We are absolutely committed, but if we get to the fourth quarter and if, for whatever reason, there is all kinds of revenue available in a certain business – or a number of businesses – we're not going to be slavish to any one number," he said earlier this year.

Wells Fargo is the fourth largest US bank by assets with $1.333 trillion as of December 2011, and at the end of the first quarter of this year had 265,000 full-time employees.

"As part of our efforts to increase efficiency, we are thoughtfully pursuing a strategy for where we grow and where we shift resources over the long-term. Businesses and functional areas are investigating what markets are most economically attractive, with access to the best talent, both internationally (including India and the Philippines) and domestically," Ms Braxton said.

Currently, India is home to around 3,000 Wells Fargo employees at its Hyderabad and Bangalore offices having been a force in the country since 2006 as a trade financier, while the Philippines holds 240 positions.

Posted by Lee ThraceADNFCR-1275-ID-801393132-ADNFCR

Posted: 26 June 2012 11:10:00
Filed under: Asia & Middle East
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