BREAKING: BoA Bloodbath? Massive Delaware Layoffs Reported by Daily Kos Diarist

Filed in National by on February 3, 2009

NOTE: There are some questions raised in the comments about the legitimacy of this report.

Here is a link to the post.

When Bank of America absorbed MBNA into it’s organization, they gave away three year protection packages to long term and high ranking employees here which meant that if they were laid off within that three year period, they would gain an additional one month to a year of severance.

This package expired on December 31st of last year, and today, five weeks after expiration, a large amount of employees that fell under that umbrella of protection are being let go. The HR rep estimates that 90% of employees that were let go today fell under that category.

The HR rep is devastated. The company directed her to make promises to people that they failed to follow through on.

So, lets simplify this. Employees that stuck it out past the three year protection mark are, some of whom were promised promotions if they stayed on instead of taking another job , are now being let go and screwed out of their packages a little over a month after it’s expiration.

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Jason330 is a deep cover double agent working for the GOP. Don't tell anybody.

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  1. Brendan Calling » Blog Archive » Atrios Speak, You Listen | February 5, 2009
  1. nemski says:

    I don’t know about the veracity of this story, but if people stayed because of “promises”, shame on them. Banks and other financial institutions have shown no loyalty to their employees or the regions they are based in.

    If true, I am neither shocked or appalled.

  2. cassandra_m says:

    BOA employees have apparently filed a lawsuit against BOA for not being forthcoming about the impact to their 401(k) holdings of the Merrill Lynch buyout.

  3. cassandra_m says:

    Interesting — a BOA investor has filed a class action suit against Ken Lewis and former Merrill Lynch CEO John Thain on the grounds that the the merger between the two companies was counter to shareholder interests.

  4. Shoe Throwing Instructor says:

    This is happening every where in virtually ever sector of the economy with the exception of health care and government. No jobs are secure if they depend even indirectly to the consumer.Disney announced a 32% drop in profits mostly do too a decline in DVD sales, if people can`t or won`t by Winnie-the-Pooh for the kids they sure are not going to want to borrow money from Banks, and that`s how banks make a profit. No profits or lower profits mean pink slips, which mean less consumer spending and more pink-slips, and around and around and down and down we go.

    Not your run of the mill recession this time around, this has depression era stats already.

  5. anon2700 says:

    So what are some recession-proof jobs that may even be growing? I’ve come up with nurse/medical assistant, collection agent, repo driver and garbage collector. Any others?

  6. Shoe Throwing Instructor says:

    anon2700; prison guards, police, detention camp guards, when people can`t take it anymore, And boarding up retail stores would be a nice skill to learn.

  7. pandora says:

    Soup kitchen ladle-ers.

  8. meatball says:

    The hospital I work for announced nurse hiring freeze effective immediately. Last week we had 5FTE postings in my unit alone suddenly we don’t need help. Admin has wiped out OT and eliminated the ability to take PTO to make a 40 hour week.
    The Hospice my bride works for is hiring, bussiness has never been better. In fact, people are dying to get in there.

    Milford Bayhealth (and I guess Bayhealth Dover) is frozen as well.

  9. Truth Teller says:

    Here we go again Banks get TAXPAYERS money at 0% or 1% and lend it back at 12%. Hire forgin employees and lay off American’s

  10. cassandra_m says:

    BOA sponsors 5 days of the “NFL Experience” (WTF???) down in Tampa.

    If they cab afford to do this, them I’m thinking they are no longer in need of the backstop for Merrill Lynch, right?

  11. Shoe Throwing Instructor says:

    The U.S. housing market lost $3.3 trillion dollars in value last year, that was money that consumers were tapping to maintain their standard of living. That`s a big reason why consumer sales are in a tailspin. That`s a big percentage of our $14 trillon total GDP.

  12. G Rex says:

    Sounds familiar. When I worked for JP Morgan, they told us, “Don’t worry about the Chase merger, your department won’t be affected.” That’s when I started punching up the ol’ resume. Sure enough, my entire department was eliminated as redundant.

    They called two meetings: one for those being let go, and one for those being reassigned. I looked around the room and couldn’t keep from laughing.

    The funny thing was, they let the white males go, and reassigned the women and minorities to other departments – part of the “commitment to diversity” they kept telling us about, I imagine.

  13. Unstable Isotope says:

    I hope this isn’t true, but I fear it is. This is a terrible recession, I hope it ends soon! Just because I survived the first round of layoffs at my company doesn’t mean I feel secure.

    I have a question, though. If one of the big problems is that banks won’t loan money and we have give taxpayer money, why don’t we just skip the middleman and have the U.S. government give people loans?

  14. Mark H says:

    UI, it seems to me that your idea might be a bit more efficient. And at least if that happened, we (US taxpayers) would at least have some collateral on the money lent.

  15. Shoe Throwing Instructor says:

    Unstable; there are a whole bunch of economists who agree with you and are proposing nationalizing all the banks, which is actually what your proposal would entail. A really drastic move but it really is areally drastic situation. It`s why thousands of Russians are out in the street demanding a return to communism and nationalization of all business.

  16. anon says:

    My first client today moved recently to DE. She moved only because she had a choice to follow her job or loose it. Her husband can’t find work here and they took a large loss to sell there home.

    My second client is a real esate agent and lost half of his IRA.

    For lunch went to get a sandwich and the owner of the store told me that her revenues were down 50% and she was going to soon close.

    I am a tax accountant. I think I will be okay. Especially by the time that the laws are changed. No one will understand the changes.

    I think this is going to get much worse before it gets better. I think we should all spend as if we have already lost our jobs.

    I hate to go to work tomorrow!

  17. liz says:

    DemocracyNow had Congresswoman Marcy Kaptur on tonight. Kaptur says its JP MORGAN/CHASE, CITIBANK, WACHOVIA, AIG/GOLDMAN SACKS AND LEHMAN.! These are the bankster gangsters. Wells Fargo is sending their top people to Las Vegas this friday…after they got $25 billion. They have no shame!

    Why cant the Congress enact legislation and ask for all the money back they havent spent, tax the hell out of them if they dont tell us what they did with “our” money. She says that Paulson and Bush did a fast one by putting the money under the Treasury dept, which has no authority, no rules and regs to force the banks to do anything. By doing so all those mortgage lenders, hedge fund crooks got protection from the FDIC funds which they immediately applied for an recd.

    It the democrats had put all this under the SEC who actually has investigators, rules/regulattions, they could have some oversight. But Bush said, “if you dont do it right now the financial world will collapse. Scaring the hell of out them before they could figure out who actually had the power. ‘We will declare martial law, if you dont sign on”. Remember!

    If Obama, and the Democrats continue to follow the Treasury, now under another Wall Street Bankster/Gangster Tim Geithner…we are truly screwed.

    Kaptur says, if you are loosing you home…DONT LEAVE! Demand to see your paperwork….cuz they cant find it. If there is no record…well you have a great case. You as a property owner have a legal remedy. You are in possession and possession is 98% of the law. So use their laws against them. I love this idea…kind of the peoples revolt against the banksters….cuz our elected officials are too entrenched, too in the bag with the dark side.

    Why didnt they give the money to the good local banks…instead of the crooksters…am betting they our legislators have invested with the gangsters….saving their own ass, while turning the water hose on us.

  18. Unstable Isotope says:

    I’ve tried Googling this and I can’t find any write-up on this. I’ll guess we’ll have to wait to find out if it is true.

  19. cassandra_m says:

    I’ve been checking too and haven’t seen anything about layoffs here. There is some news about cutbacks at Fidelity in Boston and a bunch of BOA execs who jumped ship….

  20. Von Cracker says:

    Working at Wells, I can tell you for a fact that they did not want to take the bailout cash. Paulson basically forced WF to take it…

  21. Stand by for heavy waves against B of A and of course their CEO.

    The Chancery Court in Delaware will be quite busy.

    For home owners the GOP Senate Plan has a very smart way of helping homeowners.

  22. jason330 says:

    Viva the housing bubble!

    That’s some economic battle cry you’ve got there dummy.

  23. Dorian Gray says:

    Anymore news on this??

  24. anon says:

    My guess is that it is happening, but in slow motion. The Kos diarist just pumped it a little.

  25. Another Mike says:

    Undertakers have pretty secure jobs. But what happens when folks can’t afford to bury their dead?

  26. More Better DEMs says:

    Atrios is the answer man…too bad the answer is in electing more and better Democrats and that is going to take longer than we have got.
    The big shitpile is being shed on me.

  27. RSmitty says:

    I know of ONE layoff that happened at B of A this week, in Delaware. That doesn’t mean there weren’t more, but a definite one. Maybe it’ll be a nickle-and-dime process that won’t garner much press. Wouldn’t surprise me, I’ve considered B of A the lowest of the big ones since they put the screws to the former Fleet workers in Boston years ago…and did so after all but guaranteeing them their jobs.