According to a CNBC report, Bear Stearns is laying off an additional 310 mortgage employees, though the news doesn’t seem to have a source yet.
I was actually surprised that Bear Stearns got away so seemingly unscathed, but it appears the truth is starting to come out.
You have to figure selling loans like that would come back to haunt you, assuming they weren’t bundled in between quality securities and sold to unassuming investors in Europe.
In August, Bear Stearns announced 240 subprime job cuts and closed two hedge funds, prompting many customers to go elsewhere.
See the latest list of mortgage layoffs, lender closures, and mergers.
Update: The job cuts are a result of the consolidation of the lender’s Encore Credit Unit and Bear Stearns Residential Mortgage.
Read more about the Bear Stearns consolidation.