Last week, Charlotte, North Carolina-based Bank of America said it would cut about=a35,000 jobs and reduce annual expenses by $5 billion, as it struggles with costs from its 2008 takeover of Countrywide Financial Corp and a nearly 50 percent drop in share price this year.
The layoffs could have huge ripple effects for the North Carolina economy.
Already dealing with double-digit unemployment in July 2011 (10.1 percent) due to over 100,000 state government layoffs, the state’s impending loss of additional jobs for thousands in the languishing local private financial industry could mean the slow-to-recover North Carolina economy could get much worse before it gets better.
Sheri Strickland, president of the N.C. Association of Educators, told the Charlotte Observer newspaper: "Sadly, I guess, we're really not surprised at these numbers. We said all throughout the General Assembly session, as they were looking at cuts to education, that we need our folks in the classrooms and the schools and not in the unemployment lines."
Even though bank executives did not spell out exactly where the job cuts will come from, the company has about 15,000 employees in the Charlotte area – presumably many of these workers will lose their jobs in the coming months.
One person familiar with the bank’s Charlotte operations told the Observer: "It's a state of depression around there.”
With so many out of work and without proper unemployment benefits, and so many more looming layoffs in our state’s fiscal future, you might be wondering what you can do to stay out of serious financial trouble, even as you find yourself drowning in debt.
The Charlotte Observer found that these same workers cast out of Bank of America Corp. will face a challenging job market, “vying against a growing number of talented bankers in a sector that hasn't fully rebounded, recruiters say. Some Charlotte-area workers are expected to land at other banks or smaller financial-services firms, where hiring is on the upswing. Others will count on their transferrable skills to find work in other industries. Still others might change careers. What's clear: Competition in the finance sector will heat up as pink slips roll out and nervous employees consider jumping ship. ‘We've got a lot of candidates and not a lot of seats,’ said John Dunn, an executive recruiter at Stephen James Associates in Charlotte who specializes in banking. ‘The more people you pile into that pipe, the longer it's going to take to absorb them.’”
That means if you're currently unemployed, these most recent layoffs won't make it any easier to find new work, added income, and economic hope.
In these uncertain financial times, fraught with tough economic realities for state government workers, members of the financial industry, and beyond, it has never been more important to understand all of the tools you have at your disposal for dealing with unexpected debts related to post-recessionary joblessness.
One arrow in your financial quiver can be the benefits of a personal bankruptcy. Whether you’re in dire need of a Chapter 7 liquidation filing to dispense with unwieldy unsecured debt, or a Chapter 13 repayment plan to hold on to your assets while making good on your repayment options, bankruptcy can provide a safe and secure way to help you get through your own financial meltdown—whether it comes during the recession or after it.
So, if you’re interested in the process of recovering your personal wealth and securing a better financial future in North Carolina through the safe havens of bankruptcy, remember that contacting an experienced bankruptcy attorney can help you conquer your creditors and face even your worst financial fears. In particular, the bankruptcy attorneys at the Law Offices of John T. Orcutt offer a totally FREE debt consultation and now, more than ever, it’s time to take them up on their offer. Just call toll free to 1-888-234-4181, or after business hours, you can make your own appointment online at www.billsbills.com. Simply click on the yellow “FREE Consultation Now”