The layoffs at USAA Federal Savings Bank represent about 1.6% of the total bank workforce, Bradley Russell, USAA’s corporate spokesperson, confirmed.
“In order to continue exceptional service to our members, we sometimes make hard business decisions to ensure we are adapting to our members’ needs and changes in the marketplace,” Russell said in an e-mailed response. “Sometimes that means investing more heavily in growth areas and scaling back or stopping work in others.”
Origination volume for USAA Federal Savings Bank dropped 39% in 2022, declining to $5.17 billion from $8.47 in 2021, mortgage data platform Modex showed. While refis consisted of 56.7% of the total volume in 2021, its origination shifted toward purchase mortgages, which accounted for 73.1% of last year’s production.
The bank has 197 active loan officers and 12 branches across the country.
The company is offering impacted employees “a full suite of benefits, services, and tools to help with the transition, including a paid transition period and career workshops,” according to Russell.
The firm said it often finds positions elsewhere at USAA for those affected and encourages the impacted employees to apply for roles within its bank, property and casualty insurance group, and life insurance company.
The bank held at least two rounds of layoffs in 2022, according to San Antonio Express-News. The outlet reported 90 positions were eliminated in March amid projections of a decline in origination volume.
In August, the bank issued pink slips to an undisclosed number of employees in human resources, client advising, information technology, according to the outlet.
USAA, founded in 1922 by a group of military officials, provides insurance, banking, investment and retirement services and products to military members, veterans and qualifying family members.
It has offices in seven U.S. cities and three overseas locations, with about 38,000 employees across the world.