Business Briefs

Report: Bank of America plans 16,000 layoffs

Posted September 20, 2012 8:52 a.m. EDT
Updated September 20, 2012 12:05 p.m. EDT

— Bank of America could be cutting its labor force by as many as 16,000 before the end of this year.

So reported the Wall Street Journal on Thursday.

The initial report about the job cuts appeared on the Journal's website late Wednesday night.

"Bank of America is accelerating a broad cost-cutting plan and has set a target of shedding 16,000 jobs by year's end," the Journal said.

Bank of America is based in Charlotte.

Reuters reported that such large cuts would "put the second-largest U.S. bank a year ahead of schedule in eliminating 30,000 jobs under a program called Project New BAC."

BAC is the bank's stock ticker symbol. 

Bank of America Chief Executive Officer Brian Moynihan has been streamlining the bank since he took over as CEO two years ago.

CBS News reported Thursday morning that Project New BAC has two phases.

"The first phase is anticipated to result in $5 billion in annual savings while the second phase is expected to bring about $3 billion in annual savings," CBS said. "The second phase is expected to concentrate on the company's commercial bank, investment bank and wealth management."