Administration June 7, 2002

Retirement Division Evades American Express Job Cuts

July 18, 2001 (PLANSPONSOR.com) - American Express Retirement Services, the retirement division of the financial services group, will largely be unaffected by the round of job cuts the company announced Wednesday, a spokesman said.
Reported by

American Express said it plans to cut another 4500 to 5000 jobs in an effort to decrease costs amid an economic slowdown. These new cuts are in addition to the 1,600 the firm announced earlier this year.

The firm’s retirement division will not be affected by the cuts itself, said Tom Joyce, vice president of public affairs for American Express Financial Advisors. Still, he added that while he did not anticipate any major changes, roles would be shifted within the division. 

The majority of the cuts is across the board and will occur over the next 15 months. Between 800 and 1000 positions within the firm’s advisory channel will be eliminated.

The sum of these cuts represents a reduction of nearly 7% from American Express’ workforce of 88,850 at the end of year 2000.

– Nicole Halsey           editors@plansponsor.com

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