Ally Financial (NYSE: ALLY) is exiting from the mortgage origination business while cutting hundreds of jobs companywide.
The digital-only bank’s layoffs will affect less than 5% of its workforce, according to a statement from bank spokesperson Peter Gilchrist to The Charlotte Observer. Ally has a 11,000-person workforce.
“We announced today that we will be exiting the mortgage origination business and looking at strategic alternatives for our credit card business in the first quarter of this year,” said Gilchrist said, adding the job cuts will not be specific to certain departments or locations.
The announcement marks the second round of job cuts by Ally since October 2023, when the company cited economic challenges in its decision to cut 5% of jobs companywide.
