New York Community Bancorp (NYCB) subsidiary Flagstar Bank said Thursday it is reducing 8% of its workforce, or about 700 employees, as part of a strategic transformation plan to further integrate its three legacy banks.
The bank also expects to finalize the sale of its Mortgage Servicing and Third-Party Origination business in Q4, which will result in a further reduction of about 1,200 employees.
The company said that the majority of these employees will be offered the opportunity to transfer to the buyer.
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