Lehman Cuts 1,300 Mortgage-Related Jobs

Reuters:

Investment bank Lehman Brothers Holdings Inc (LEH.N) on Thursday said it would stop U.S. wholesale mortgage lending because of a continued slump in credit and housing markets, a move that will cut 1,300 jobs and result in a $40 million charge.

With these cuts, Lehman will have eliminated 3,750 mortgage jobs globally since June 2007. That represents a big scaling down of a business model the investment bank was one of the first to adopt, namely making home loans itself with the sole purpose of packaging the mortgages into bonds for investors.

Lehman said it will suspend wholesale and correspondent lending at its Aurora Loan Services unit.

Read the whole story: Reuters

Comments

[totaldisbelief]

I can see the day coming when credit card employees are calling debt collection employees to hit them up for payments and then vice versa.The only jobs left will be in debt collection, Security and the military or Blackwater.The rest of us will be standing in some bread line somewhere or in the gulags(courtesy of H.R.1955)

[MajorKong]

These people obviously should have worked harder. They have only themselves to blame for not being successful. /snark

[themodernleader]

WIpatriot. The sky has fallen. But our citizens have been conditioned to believe that spending is saving; borrowing is lending; debt is surplus; buying is selling; being fired is being hired; market crashing is arising. Self delusion and decline go together.

[WIpatriot]

Anybody keeping track of the job cuts to compare to the unemployment figures due out next month??