American Express to cut 4,000 more jobs

Financial services company American Express announced Monday that it will cut 4,000 jobs or 6% of their global workforce. The move is part of their $800 million restructuring efforts meaning that cutting jobs would allow them to save overheads on people and facilities.

This new announcement is in addition to the previous announcement last October that stated that 7,000 positions to be cut by the credit card giant. The company said that its first-quarter earnings indicated that costs must be cut.

While the company “has remained solidly profitable,” it continues “to be very cautious about the economic outlook and are therefore moving forward with additional reengineering efforts to help further reduce our operating costs,” chief executive Kenneth Chenault said in a prepared statement.

Job cuts are projected to save the company $500 million. That will also translate to operating cost reduction savings of $125 million.

Source: CNN

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