AM I NEXT? NO LOVE AT FREEDOM MORTGAGE (09/08/22)

SEPTEMBER 8, 2022 — HIDDEN LAYOFFS?

In response to falling origination volume, Freedom Mortgage, conducted layoffs in March, May, and August, including loan officers, closers, underwriters, and client support representatives. The company continues to outsource and offshore operations using technology outsourcer Deerfield Beach, Florida-based Moder, the business outsourcing arm of Archwell Holdings,

MARCH 12, 2020 — Original post…

Mount Laurel, New Jersey-based Freedom Mortgage, a multi-state mortgage banking, and servicing company, has announced that it will be closing its mortgage servicing call center located in San Dimas, California. The layoffs, commencing in June 2020 will impact 171 employees. California mortgages will continue to be serviced using other company facilities, possibly at RoundPoint Mortgage Servicing which the company acquired in 2019.

It is likely that the decision to close the office was conditioned on the restructuring to streamline operations and eliminate redundancies that normally occur when other companies are acquired.

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

LAYOFFS: NO LOVE AT GATEWAY ONE LENDING & FINANCE

Anaheim, California-based Gateway One Lending & Finance, the indirect auto finance company subsidiary of Wayzata, Minnesota-based TCF National Bank, has announced that it will be selling loan assets and outsourcing servicing activities. As a result, the company will be closing its Anaheim, California office in April 2020 and laying off 137 employees, representing its entire California staff. The decision was driven by the sale of $1.1 billion of the company’s loan assets to Santander Consumer USA Holdings, including the conversion of an additional $500 million in loan assets that Santander will sub-service for Gateway One. At the time of the 2019 transaction, Santander’s president and CEO Mahesh Aditya noted, “Santander Consumer USA has demonstrated its ability over many years to partner with other large, and well-regarded financial institutions to leverage our best-in-class servicing platform.” According to Santander’s CFO Fahmi Karam, “We are excited to announce this transaction with Gateway One as it aligns with two of our key priorities, to be opportunistic on portfolio acquisitions and to leverage our servicing platform to drive fee income. This transaction is another example of the value we can provide to third parties when partially or completely outsourcing their servicing needs. We are continuously identifying and evaluating strategic ways to deploy capital that are accretive to our business and add shareholder value.”

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

LAYOFFS: IS THE HANDWRITING ON THE WALL AT FRANKLIN TEMPELTON & LEGG MASON?

San Mateo, California-based Franklin Resources, a major asset management and investment advisory firm, has disclosed its intention to acquire rival Baltimore, Maryland-based Legg Mason, an investment and asset management firm for $4.5billion, at the behest of activist Nelson Peltz’s Trian Partners.

Franklin Templeton plans to cut around 8% of its combined workforce after the acquisition closes. Approximately 800 employees will be immediately impacted.

Like all such acquisitions, look forward to more restructuring, elimination of duplicate functions, consolidation of operations, and the type of cost-cutting that drastically affects headcounts.

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?