Bad news for more than 700 employees
According to a state filing, more than 700 People’s United Bank workers would lose their jobs when the Connecticut lender is bought by a New York bank. M&T Bank Corp., located in Buffalo, New York, announced the removal of 747 jobs in Connecticut, including 661 at People’s Bridgeport headquarters.
M&T Bank has made public in February that it will buy People’s United Financial Inc. in an all-stock deal for about $7.6 billion. According to the Hartford Courant, M&T’s July 22 application with the Connecticut Department of Labor stated that layoffs may begin as early as the 1st of October and end by May 2022.
The governor’s office described the employment layoffs as ‘disappointing’ for Bridgeport and for the state, and Ned Lamont’s office has made a public announcement:
‘The governor and his administration will remain in contact with all parties to further minimize job loss and ensure the bank fosters a true partnership with the city of Bridgeport and has a presence in Bridgeport’s communities.’
The merge with M&T Bank
From an M&T announcement, the combined bank’s Northeast regional headquarters will be located in Bridgeport. It stated that 79 percent of People’s United personnel, including branch and customer service staff, will maintain their employment following the takeover. The two financial companies have facilities all across the Northeast and Mid-Atlantic.
An M&T spokesperson claimed that as part of their ongoing efforts to complete the merger, they announced a number of employee layoffs this week at People’s United. This step was made to guarantee that the new company is structured in such a way that its customers and communities receive the highest quality service possible. They are delighted to announce that 79 percent of People’s United workers, including branch and customer service staff, have remained within the company. The job cuts announced this week are conditional on the merger concluding successfully, and it is expected to be a one-time adjustment as they work to consolidate the firms. They have also said in an apologetic speech:
‘This is not something we take lightly, and we will do everything we can to support our employees, both affected and unaffected, throughout this transition.’
Good news – Job openings
There are nearly 1,500 employment openings across M&T’s network, and Bridgeport workers are encouraged to apply. Employees of People’s United will be given first consideration and support for positions that match their expertise and skills.
John Carusone, who leads The Bank Analysis Center, a Hartford-based industry consulting business, said state and federal banking regulators may convene hearings if enough People’s United customers and state political leaders object to the job layoffs.
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