Residential Capital LLC, the home lending arm of the former General Motors finance unit GMAC, announced it is cutting 3,000 jobs, or 25 percent of its already reduced staff, in the latest fallout from the meltdown in mortgage markets.
ResCap, as it is known, said most of the cuts taking place will come during the fourth quarter. It anticipates taking a charge of between $90 million to $110 million to cover severance and office closings.
The company said the restructuring will allow it to scale operations up or down as the market changes.
The cuts come on top of 2,000 positions already reduced from a staff that stood at 14,000 at the start of the year.
"They've taken some pretty significant actions to date and we'll continue to adjust operations to be more in line with the current environment," said Gina Proia. "We continue to focus on turning the business around. We think ResCap will continue to be a significant player in the mortgage business."
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1 comment:
2000 thats a lot
www.mortagesave.com
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