American Advisors Group (AAG), the leading reverse mortgage industry lender, told authorities in California that its latest round of layoffs in late October affected a total of 204 employees.
RMD reported on the layoffs on Oct. 28 and, at that point, the full extent of the workforce reduction was unclear. But a Worker Adjustment and Retraining Notification (WARN) filed with the Employment Development Department in California confirmed the jobs cut and brought more details.
The layoffs affected dozens of loan officers, with 43 laid off in total, followed by 27 operations support coordinators, 18 processors, and 11 customer service representatives. The company cut 15 managers, three directors and one vice president.
Departments such as communications, marketing and learning and development were affected, according to the document.
“This is to advise you that due to business economic factors, skillset, productivity, and overall performance, American Advisors Group will be conducting a mass layoff at its Irvine California job site,” wrote Michelle Barberio, vice president of human resources, in the WARN Notice.
The permanent layoff occurred on Oct. 28, the employees affected do not have the right to claim another job at the company and they are not members of a union, according to the document.
Representatives for the company declined to comment.
The company estimated it had roughly 1,500 employees in June. Sources told RMD that hundreds of employees were impacted by the June layoff round. A second layoff round reportedly hit the company in August, with sources describing it as a “mass layoff” striking at several different levels of the organization.
Regarding the reasons for the jobs cut, back in June, the company said that wider business realities were driving staff reductions.
“AAG asks its business unit leaders to continually evaluate their department’s overall costs and staffing needs. After analyzing market trends, AAG has made some organizational changes,” a spokesperson for AAG Holding wrote to RMD and its sister publication HousingWire in June. “We regret any negative impact that organizational changes have on AAG employees and their families.”
