PNC LAYOFF JOB CUT: PNC financial services to layoff 5800 jobs

PNC financial services JOB LAYOFF

PNC financial services has announced that it will shed about 5,800 jobs or nearly 10% of its total workforce of nearly 60,000 after merger with rival Cleveland based National City Corp. The job layoffs will be implemented by 2011.

Details about PNC Job Layoffs

There are no reports as to where these job cuts will take place. However it has been announced that 500 of the 5800 job layoffs will be in 61 branches in Western Pennsylvania, that PNC will divest in order to comply with federal antitrust authorities.

Reasons for PNC Job Layoffs

PNC recorded a $248 million loss in the fourth quarter of 2008. This included a cost of $380 million for the acquisition of National City Corporation. The job layoffs were announced to be part of a cost cutting exercise and merger which will result in a saving of about $1.2 billion in one year. While PNC has made $882 million in net profit for the entire year, National City Corp. has made a loss of $6 billion last year owing to subprime mortgage loss.
source: Pittsburgh Live, WSJ