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Bank of America Discussing About 40,000 Job Cuts: Report

Bank of Americaofficials have discussed slashing roughly 40,000 jobs during the first wave of a restructuring, The Wall Street Journal reported, citing people familiar with the plans.

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Bank of America flag

The number of job cuts are not final and could change. The restructuring aims to reduce the bank's workforce over a period of years, the Journal said.

The newspaper said Bank of America executives met Thursday in Charlotte, N.C., and will gather again Friday to make final decisions on the reductions, putting the finishing touches on five months of work.

Bank of America could not immediately be reached for comment by Reuters outside regular U.S. business hours.

Banks are shedding jobs worldwide as stricter regulations and a tough second quarter for trading income take their toll on investment banking units in particular.

Earlier this month, the Charlotte Observer reported that Bank of America executives were discussing plans to potentially shed 25,000 to 30,000 jobs over the next several years.

The bank had earlier planned to cut 3,500 jobs, its Chief Executive Brian Moynihan had said in a memo to staff on Aug. 18, as it tries to come to grips with $1 trillion of problem home mortgages.

Bank of America announced a far-reaching reorganization of its senior management team on Tuesday, which included the departure of consumer bank chief Joe Price and wealth-management head Sallie Krawcheck.

Banks are shedding jobs worldwide as stricter regulations and a tough second quarter for trading income take their toll on investment banking units in particular.

More than 70,000 staff cuts have been announced this year or are reported to be in the works at U.S. and European banks, some of them to be lost over three or four year programs.