it's always a good sign when the overlords kill their servants.
Bank of America Corp. said today it will eliminate between 30,000 and 35,000 jobs over the next three years due to its acquisition of Merrill Lynch & Co Inc. and a faltering economy that is “affecting the level of business activity” at the bank.
BofA has not completed its analysis and expects to have a final number in early 2009, it said in a statement. A cut of 35,000 jobs would represent up to 10.5 percent of the combined BofA/Merrill work force.
BofA said the reductions will come from both companies and will affect all lines of business and staff units.
Bank of America has about 3,800 employees in Northeast Florida. Merrill Lynch employs about 2,700.
The bank said it will make as many reductions as possible through attrition. Severance and other benefits will be provided to employees who lose their jobs and cannot be offered other positions within the bank.
“The reductions are designed to eliminate redundancies created as a result of the merger with Merrill Lynch and to reflect the current recessionary environment,” the bank said.
Shareholders approved the Merrill deal, initially valued at $50 billion, last week. BofA executives said they would seek to cut $7 billion in annual expenses, or 10 percent of the combined expenses of BofA and Merrill, and eliminate overlapping back office and support jobs between the two companies.
Charlotte-based BofA (NYSE:BAC) has 247,024 employees. New York-based Merrill (NYSE:MER) has 60,900 full-time employees.