Layoffs Hitting Companies From Tech to Banks in RI and Across the Country

Layoffs Hitting Companies From Tech to Banks in RI and Across the Country

The job market continues to be unpredictable.

While the unemployment rate in Rhode Island and nationally is near record lows and “help wanted” signs can be seen in store windows across the state, the labor market and the economy are in transition.

Now, some significant layoffs are emerging as the economy continues to recalibrate.

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In Rhode Island, GoLocal reported that in March that Santander Bank was expected to lay off nearly 200 employees.

According to the RI Department of Labor, Santander filed a Worker Adjustment and Retraining Notification (WARN) notice that it would be laying off 198 employees in East Providence effective April 8, 2022. 

The layoffs by Santander are taking place across the globe. 

“What’s behind banking giant’s job cuts?” reported mortgage industry publication MPA in March. “It has discontinued its home originations segment.”

“We have discontinued residential mortgage and home equity originations as we continue to focus on investing in products that have scale and that leverage our core strengths,” company spokesperson Nancy E. Orlando told MPA in response to questions. “This move will allow us to unlock capital to fuel our growth. We remain committed to our clients, small businesses and the communities we serve and are ensuring that our current clients and those in our pipeline are not impacted.”

Wells Fargo is also in the midst of major layoffs.

Business Insider is reporting, “As mortgage revenues fell at Wells Fargo in the first quarter of 2022, the company began laying off employees in mortgage-related positions."

"We are carrying out displacements in a transparent and thoughtful manner and providing assistance, such as severance and career counseling. Additionally, we are committed to retaining as many employees as possible and will do everything we can to help them identify other opportunities within Wells Fargo," a Wells Fargo spokesperson said in a statement provided to Insider.

Another mortgage company Better.com has laid off approximately 4,000 over the past few months.

 

Tech Getting Hit Hard

"Twitter is imposing a hiring freeze and might renege on some job offers, Chief Executive Parag Agrawal said in an internal memo. The social-media company isn’t planning companywide layoffs, he said. 'Please continue to treat Twitter’s resources as you would your own, and manage tightly to your budgets, prioritizing what matters most,' Mr. Agrawal said in the memo. The hiring freeze comes shortly after Twitter agreed to sell itself to Elon Musk for $44 billion,” according to the Wall Street Journal.

Peloton, the home fitness company, is laying off 2,800.

Carvana is laying off an estimated 2,500, according to multiple reports.

Uber, Robinhood, and Netflix have all announced significant layoffs.

And, Facebook's parent company Meta has announced a hiring freeze.

All of these cuts and freezes are not exclusive to the post-pandemic world or rising interest rates. 

Scotts Miracle-Gro has announced it is cutting about 10% of its workforce and even the cannabis industry is getting hit.

One of the world's largest publicly traded cannabis companies, Canopy Growth, slashed 250 jobs in Canada earlier this year as it faces increasing competition in the burgeoning cannabis market, reports Insider. The company's stock has declined 50% this year.