Bank of America won’t have layoffs during COVID-19 pandemic, CEO says
Bank of America won’t have layoffs during the coronavirus pandemic, CEO Brian Moynihan said Friday on CNBC.
That makes the Charlotte-based firm the latest major bank to promise not to lay employees off during a public health emergency, joining Morgan Stanley and Citigroup.
The announcement comes as a total of 150,000 Bank of America employees are working from home, about 72% of its workforce, Moynihan said.
It’s a massive upheaval and mobilization for one of the country’s largest banks, and a symbol of how quickly companies have had to adapt to the novel coronavirus pandemic.
“It’s not something you want to do,” Moynihan said, adding that he thinks is good for employees to work in person with others, but that it’s necessary to prevent the spread of COVID-19, the disease caused by the virus. The bank has increased the number of employees with a work monitor at home from 10,000 to 50,000 in recent weeks, he said.
Last Friday, Bank of America said it would reduce branch hours at its 4,300 locations nationwide, according to a company memo. Workers will still be paid for their regular, full schedule, even if hours are reduced, the bank said.
Many employees will receive bonuses or a higher overtime salary while the pandemic is ongoing. The bank has also expanded its healthcare benefits to let qualifying employees get free testing for COVID-19 and unlimited telehealth, Moynihan said.
The millions of Americans who lost their jobs in the pandemic will be able to ask for deferrals on some bills, he said. So far, the bank has received 150,000 deferment requests.
Earlier this month, the bank announced plans to donate $100 million to help communities hurt by the coronavirus. Bank of America employs 208,000 people, including 16,000 in Charlotte, where it is headquartered.
Wells Fargo announced this week that it was closing some branches across the country, and switching others to drive through-only.
Charlotte-based Truist, which operates its branches under the names SunTrust and BB&T, closed a number of branches in March, and limits access to branch lobbies.
This story was originally published March 27, 2020 at 11:15 AM with the headline "Bank of America won’t have layoffs during COVID-19 pandemic, CEO says."