Bank to cut 200 jobs in the region

June 02, 1995|By Michael Dresser | Michael Dresser,Sun Staff Writer

NationsBank Corp., the North Carolina banking giant that bought Maryland National Bank in 1993, will eliminate about 200 jobs in Maryland and the Washington area before the end of the year, a spokesman said yesterday.

John Riggin, the bank spokesman, said the job cuts will not affect the bank's branch system but will come in the areas of pTC commercial lending and administration.

The workers will be given an opportunity to find jobs in other parts of the company, but those who cannot will be laid off rather than be offered buyouts or early retirement, Mr. Riggin said.

He said the cuts will be scattered throughout the Baltimore-Washington area, including northern Virginia, but had no specific figure for layoffs in Baltimore.

"It's part of an ongoing process we have to go through to stay competitive in the area," Mr. Riggin said.

The job cuts announced yesterday would bring to about 1,200 the number of jobs that Charlotte-based NationsBank has eliminated since acquiring Maryland National. NationsBank has closed about three dozen former Maryland National branches.

The layoffs are part of a nationwide trend in the industry as bigger banks acquire smaller ones and consolidate operations.

Last month, NationsBank's top executive in the mid-Atlantic region, R. Eugene Taylor, told Baltimore executives that consolidation and automation in the banking industry will cut the number of banking jobs nationwide by 25 percent to 30 percent.

The job cuts do not reflect hard times for NationsBank, which like other big banking companies has enjoyed quarter after quarter of strong results as the loan demand has picked up and interest rates have stabilized.

In its most recent quarter, NationsBank reported an earnings gain of 6.2 percent, to $443 million.

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