Bank of America Corp. plans to slash 30,000 jobs in the next few years, the first wave of a broad cost-cutting program that aims to boost profitability and investor confidence in the struggling financial-services giant.
The reductions will come in consumer banking and other support areas, such as technology and operations. The Charlotte-based bank on Monday said attrition and the elimination of unfilled positions will play a "significant part" in the job reductions.
The cuts equal a little more than 10 percent of the bank's 288,000-member workforce. The second phase of the efficiency program, which will address commercial banking, wealth management and capital markets operations, is expected to eliminate additional jobs, but likely in smaller numbers.
Bank of America confirmed its job-cutting plans shortly after Chief Executive Brian Moynihan gave a closely watched presentation Monday at a New York investor conference, where he once again worked to assure investors that his turnaround plan is gaining traction. The bank's shares closed up 1 percent, at $7.05, after slipping earlier in the day.
McClatchy Newspapers reported earlier this month that the cost-cutting program - called Project New BAC after the bank's stock symbol - could eliminate up to 30,000 jobs.