American banking major Wells Fargo is preparing to axe thousands of jobs later this year as part of its efforts to reduce costs, Bloomberg Law reported.
The bank is looking at reducing costs to stabilise its bottom line as it grapples with loan losses due to coronavirus and fines related to a series of scandals in recent years.
During a presentation in May 2020, Wells Fargo CEO Charlie Scharf raised his concern over surging costs and called them “way too high”.
The bank’s executives are drafting plans that may lead to thousands of job cuts this year, reported the news agency, citing sources.
Wells Fargo has a total workforce of about 263,000 people across its global operations.
The bank will announce its second-quarter results on 14 July.
It is not likely to share its plans in the results report, reported Reuters.
According to Bloomberg Law, job cuts by Wells Fargo may resonate across several other banks which are also facing huge loan losses due to Covid-19 pandemic.