Wachovia Layoff

Speaking of shady business dealings, there is a high rise condominium project that would not be lended on in AZ and was considered excessive risk when we were World. Recently someone in upper management in origination was contacted by Wachovia wanting to know why origination was not funding the loan on every single unit in this complex, why they were not making loans and taking advantage of this opportunity. The Wachovia people wanted to put a rep and an appraiser in this complex to make more loans on it. The "World" origination manager conveyed to the Wachovia person that this was a bad idea and the condo project is considered excessive risk, mostly due to the mortgage & title fraud taking place within the project. Guess what Wachovia said? Well, Wachovia is the investor who funded this project... suprise surprise.

Higher up in San Francisco, California said: I just got word (rumor has it) that the appraisal dept is going to be eliminated by years end. Wachovia is going to use fee appraisers instead as they sell their loans to the secondary market.

HIGHER UP IN SF:

WOW.....but all secondary stuff needs to be reviewed. Are they going to COMPLETELY get rid of appraisers all together OR are they going to scale WAY back...cut out the cars, equipment etc...and make reviewers out of the remaining staff?.... I new it would come to this. There are tooo many levels of managers getting paid BIG MONEY to manage 3-6 people.

This is sooo sad. In our area we have 6 people and we have done a total of 50 this month. the writing is on the wall.

Anyone have any other news?

think this whole thing is crazy in San Antonio, Texas said: that's a good report. BUT, it could be skewed as just "some more layoffs due to the industry". however, i am not sure that these layoffs are due to that. how can it be conveyed that these job losses are due to wachovia's taking over world???? after all, once the media hears that world did "ARMs" without understanding what we did or how we did it, they could probably just try to justify the whole situation. what does anyone think?

I think you're absolutely right. Wachovia played this whole thing very well. With the layoffs slowly occuring at about 20 or so each week it's not enough to alert the media. On top of that they waited long enough for the real estate market to crash like it is and now it can simply be blamed on the mortgage industry as a whole. I think we all feel betrayed because we were told over and over that Wachovia needed to learn how World did mortgages because we were so much more successful at it. Maybe now that just shows how naive we were when it came to "Big Business in Corporate America".

Lost between old World and new Wachovia in San Antonio, Texas said: I think you're absolutely right. Wachovia played this whole thing very well. With the layoffs slowly occuring at about 20 or so each week it's not enough to alert the media. On top of that they waited long enough for the real estate market to crash like it is and now it can simply be blamed on the mortgage industry as a whole. I think we all feel betrayed because we were told over and over that Wachovia needed to learn how World did mortgages because we were so much more successful at it. Maybe now that just shows how naive we were when it came to "Big Business in Corporate America".

Keep in mind too that the real unemployment numbers have not hit yet as many of the displaced were on payroll for 60 days so there is no hint of layoffs as no one has claimed unemployment yet...or not in large numbers. had all the displaced hit the unemployment office at the same time might have been noticed.

watching in the NW in San Antonio, Texas said: Keep in mind too that the real unemployment numbers have not hit yet as many of the displaced were on payroll for 60 days so there is no hint of layoffs as no one has claimed unemployment yet...or not in large numbers. had all the displaced hit the unemployment office at the same time might have been noticed.

Good point..many employees displaced are still considered active.

this was on the local news this morning. also on mysa.com

180 World Savings employees lose jobs

About 180 people at World Savings no longer have a job.
Wachovia merged with World Savings in August. At the time, the financial services giant announced it would add 300 new jobs on the city's West Side.
The 180 well-paid workers will get about six months worth of severance pay. After that, they're on their own.
"(It's) pretty devastating, I've been with the company for so long, just to be let go with no real explanation as to why," one employee said.
The man, who's identity KENS is protecting, started working at World Savings as a loan consultant three-and-a-half years ago.
"'Your services were no long needed, you'd be given a severance package,' " the man said World Savings told him.
Last month, he was told his $50,000-a-year job would come to an end Oct. 5.
"My biggest question would be, 'Why I was selected?' There were so many of us in there, and there was still a lot of people that weren't affected," he said.
A spokesperson with Wachovia says a downturn in the mortgage industry forced the company to cut 1,300 jobs across the country, and 180 of those jobs were from the facility near Texas 151 and Wiseman Boulevard.
"With this many people out of work, it's going to be very competitive," the former World Savings employee said.
As a first-time homebuyer, he's worried about how he'll pay the bills, and he's not alone. Experts say a recent explosion of mortgages to people with questionable credit histories could pose a danger to the economy.
Wachovia says it still plans to add those 300 jobs it announced in July, so even with these cuts, by the end of the year the company will have added more jobs here in San Antonio.

World active employee for now... said: Good point..many employees displaced are still considered active.

and with 60 days of pay for most chances are might not even claim unemployment as could find work and have job ready to start when actual "end date" hits this would eliminate many entries to an areas unemployment numbers. they played it right for sure.

when yesterdays news came down about the employees that were being displaced in final documentation my heart sank and my stomach was in my throat. i've been reading this forum since it was started and i never thought it would hit that close to "home" they did mention to us that our jobs are secure--------for now. they made sure to throw that in. when will the next shoe fall? who knows.....has anyone heard anything else about the future of the final documentation department?

Wachovia sued over option-ARM mortgages

San Francisco Business Times - 11:59 AM PDT Wednesday, September 19, 2007

A lawsuit filed against Wachovia Corp.'s mortgage unit and World Savings Bank in Oakland alleges the bank was less than honest in explaining its option-adjustable-rate mortgages to consumers, according to the Charlotte Business Journal.

That "campaign of deceptive conduct and concealment" led customers to lose their homes through foreclosure, contends the suit, which seeks class-action status. It was filed Aug. 30 in federal court in San Jose.

Dolores Mandrigues of Milpitas filed the suit on behalf of herself and any other consumers who have taken out option-ARM loans from the bank over the past four years. She is seeking unspecified damages.

The suit claims the bank did not disclose the actual interest rate on its loans, which were often raised "immediately and significantly" after closing. It also says if borrowers made payments at the teaser rate, the principal on the loan would actually increase, which is called negative amortization.

An option-ARM loan allows borrowers to make one of four payments in a given month: a specified minimum payment, an interest-only payment, or a 15- or 30-year fixed-rate payment.

The suit claims Mandrigues was told her option-ARM loan would have an interest rate between 1 percent and 3 percent that would be fixed for the first three to five years of the loan.

She contends she was also told that if she made payments at that rate, the principal on the loan would not increase through negative amortization. She said the product was "aggressively marketed" as a fixed-rate, low-interest home loan to increase loan volume for the bank and maximize profits.

Instead, the loan had a low fixed payment but not a fixed interest rate, her suit alleges, and the low teaser rate stayed in place for only a month.

As a result, the loan negatively amortized, and Mandrigues lost equity in her home, she sa

is anyone else on the san antonio campus stressed? depressed? feel like they are stuck in quick sand fending for their jobs? i'm still employeed at World Savings/ Wachovia but let me tell you...i've been there almost 8 years now and i've seen people go left and right. it's so discouraging.

anyone heard anything else about the Boynton Beach ROC?

n/a in Boca Raton, Florida said: anyone heard anything else about the Boynton Beach ROC?

Hey I am in Orlando. How is everything where you are? At my office, no one even suspects layoffs because everyone is so busy? Why would they layoff Boynton and not Orlando or Tampa? It dosen't seem logical.

Continuation from above:

It doesn't seem logical since Boynton loan volume is double or triple the volume of Tampa and Orlando.

Mary Lou in orlando, Florida said: Continuation from above:

It doesn't seem logical since Boynton loan volume is double or triple the volume of Tampa and Orlando.

keep in mind none of this is really logical. i am not trying to cast doubt on what may or may not happen there, but don't count on being busy and having high volume as indicators that you will be ok. you may, and i certainly hope so, but, just know that a lot of people were displaced who were busy.

Johny Rods in sacramento, California said: HIGHER UP IN SF:

There are tooo many levels of managers getting paid BIG MONEY to manage 3-6 people.

This is sooo sad. In our area we have 6 people and we have done a total of 50 this month. the writing is on the wall.

Anyone have any other news?

Yeah, it is, especially re the "managers"....times like these do not build character ... it reveals it. it will eventually be disclosed as to who Wachovia defines as having character and who doesn't. Wachovias expertise seems to be a precise formulation for "consolidation" and stream lining what they consider "wasted" resources that do not contribute towards their bottom line.......profits. World had a tradition of many managing the few, wachovias got it down to a science where only a few manage many.

crazy in san antonio in San Antonio, Texas said: keep in mind none of this is really logical. i am not trying to cast doubt on what may or may not happen there, but don't count on being busy and having high volume as indicators that you will be ok. you may, and i certainly hope so, but, just know that a lot of people were displaced who were busy.

Why is there a rumor that they might layoff Boynton underwriters and processors? Is it because of audits or is it because they plan to close most ROCs around the country and consolidate into fewer loan centers, or cost per million? It is certainly not because of volume. Boynton is one of the highest volume ROCs in the country.

Your manager is correct about rumors! I have found the "grapevine" to be amazingly accurate.

Mary Lou in orlando, Florida said: Why is there a rumor that they might layoff Boynton underwriters and processors? Is it because of audits or is it because they plan to close most ROCs around the country and consolidate into fewer loan centers, or cost per million? It is certainly not because of volume. Boynton is one of the highest volume ROCs in the country.

Is this true? Has anyone heard anything about Charlotte,NC?

It is very hard for me to grasp the concept of, "Who is running the show?" With the Sandlers it was very clear,they were in charge. Wachovia?? Who is running the show? Who decides who goes and who stays? Why are they dragging it out so long? I am so tired of living in fear every day I feel like a casualty of war and the sad part is I still have my job!

WSL has always been so top heavy. Many chiefs to few Indians as noted in other posts. Who besides me, think its the top dogs that should be concerned? OH I also think those of us on the bottom still have some concerns but I think those managers who manage the few or the what they use to term, district and regional should be thinking twice. I am so glad I left the world of management, to be honest I feel safer here where I sit.

no comment

Let Go in Winston Salem, North Carolina said: pam in Reno, Nevada

You really arent adding anything to any of these conversations. You were not displaced, you were fired for poor performance. You take what is being discussed her and twist it into "I have sent emails to everyone in every governmental position in the world and told them that what is happening isn't fair." I dont see how any of what is being discussed relates to you. We were displaced, you were fired for performance.

how unkind of you. its much better to know what conclusions you are drawing than just taking a wild a-- guess. this person was not fired for any reason. she became quite ill and quit at the doctors recommendation. watch your mouth.

I would normally agree if World people are calling the shots but do you really think that Wachovia would keep a world top brass to their own? I suspect by Jan. to see a lot of Wachovia people flowing out here, for now, its as if wachovia isnt here at all.

mgt is STILL trying to promote people into regional jobs. How can they sleep at night??? I would say...you are safer IF you manager staff..but manage managers (aka...middle man) very scary...very scary.

SOCA....any rumors about us appraisers?

Johny Rods in sacramento, California said: mgt is STILL trying to promote people into regional jobs. How can they sleep at night??? I would say...you are safer IF you manager staff..but manage managers (aka...middle man) very scary...very scary.

SOCA....any rumors about us appraisers?

In my experience, districts are useless, divisions are useless, and regionals do all the hard work for all 3 positions!

I'm also desperate to know if there are any rumors on the appraisal department??

No rumors that I am aware of except from this forum. Lots of speculation based on fear. What is your opinion on the company cars? I think if the appraisers survive the year, the cars will be gone in short order. Any info about the cars?

Depends on your neck of the woods I suppose. I find the districts doing all the work while the regions and divisions do ???????

I'm not sure on the rumor the appraisal department will be going away by the end of the year, it seems desk reviewers would still be needed, and that position would have no reason to keep a company car. But I think a few appraisers will likely be displaced very soon. We're having difficulty finding enough work for each appraiser to do 1 per day. How can full time pay be justified with that production?

Same thing in my area. Very Slow. I have been going to other offices and Wachovia has been footing the hotel bill! World loved to hire people and a few years ago we needed every body we could get but now we are dying. I heard about us all becoming desk reviewers but I don't know anymore, it seems everything changes on a dime. I ask about the cars because I do not own my own vehicle and keep thinking should I rush out and buy one while I have a job? If they let us go and I do not have a job, I will be walking!

WACHOVIA IS EVIL!!!

They harrassed me with Documentation about performance (even though my perfomance was better than half the people in my "hub") and continually threatened to escalate the process and eventually fire me. They gave others promotions for achieving licensing (more vacation) and didn't give it to me until I told them I knew about it (promotion discrimination) and in the same breath my sales manager told me I would be fired at the end of the month. My salary was a little higher than most AND AND with the pension changes coming in January 08, I would have been eligble for a few years worth of cash balance pension that they wanted to avoid. HAVE THEY DONE THIS TO ANYONE ELSE? LET SUE THE SH>T out of them. Instead of setting money aside for my pension, they can use it for loan loss reserves. F'd up!

I am sorry this has happened to you. It is something I think about in my position because as a tenured appraiser I am capped at my wage. If they have less experienced who do the same appraisals as I or my compadres in the similar income bracket, why keep us? Keep the less experienced at a cheaper wage.

I see how this very easily happened to you.

SOCA Appraiser in California said: I am sorry this has happened to you. It is something I think about in my position because as a tenured appraiser I am capped at my wage. If they have less experienced who do the same appraisals as I or my compadres in the similar income bracket, why keep us? Keep the less experienced at a cheaper wage.

I see how this very easily happened to you.

GREAT IDEA, they did this to some of the peopil i know as well. i think the eeoc might be interested but not sure. check it out.

to all in the west of the west, can't say exactly because we do not know who is on this forum, but it looks like they are circling the wagons and smoke is rising from the campfires.

EEOC only cares if it was done because of age, race, gender etc. BUT if they chose to harrass me bc I am not in a protected class ( young, white male) then it could be considered reverse discrimination. I'd rather get a class of similar people treated the same way and sue them. They would never let it see a courtroom. But we have been wronged.

You are so right. Sad isnt it? We even keep our indentity concealed here out of fear.

Numbers Guy in Anywhere, North Carolina said: EEOC only cares if it was done because of age, race, gender etc. BUT if they chose to harrass me bc I am not in a protected class ( young, white male) then it could be considered reverse discrimination. I'd rather get a class of similar people treated the same way and sue them. They would never let it see a courtroom. But we have been wronged.

do you have the documentation?

carry fisher in alfa centuri said: to all in the west of the west, can't say exactly because we do not know who is on this forum, but it looks like they are circling the wagons and smoke is rising from the campfires.

Can't you give us a little more than that? something? anything? I've been smelling the smoke for about 2-3 weeks now, and just a bit of oxygen might help...

somewhere in the chaos in Phoenix, Arizona said: Can't you give us a little more than that? something? anything? I've been smelling the smoke for about 2-3 weeks now, and just a bit of oxygen might help...

can't give positive info but there are meetings next week with big shots involved.

carry fisher in alfa centuri said: can't give positive info but there are meetings next week with big shots involved.

Are you speaking about specific departments or World people in general?

It's so hard to tell what's going to happen. Management seems stressed, which doesn't make you feel too confident. if you ask them questions about what's to come, you get a sing-song answer or very measured response. Usually one extreme or another. It's parroting all the way down. They seem to be hiring for reps but not ROC staff. I wonder how long that will last, or if the freeze is for good reason. I think some offices have stopped hiring roc staff, but I don't know if it's across the board. I haven't heard of new appraisers, either. Does anyone know?

There is a hiring freeze for appraisers in Southern California. This has been in effect for several months now.

Appraisal managers in my area are so hard to find. They're always out in meetings or on conference calls. There's definitely something going on. At this point, there's no need to hire new appraisers, there's trouble just keeping the appraisers we have busy. There's no way every appraiser will survive the next round. I'm just curious to know what will be the criteria for deciding who goes and who stays? Pay? Production & turn times? Annual reviews & written notices? Licensed vs. trainees? And how much longer do we have? One week? Until the end of the year?

It is not cost effective to keep appraisers when the work can be outsourced. Wachovia is going to do it the Wachovia way and save and cut everywhere they can. Even desk reviews are outsourced by lenders including Wachovia and Vertice. Wachovia didn't buy out Golden West for the employees but for the portfolio products which are useless in this market right now and the bank customer base. Wachovia even now after the merger ranks only 9th in mortgage production but the deposit accounts will give them the most income and larger asset base to keep them in the top three.

Carlene in California said: It is not cost effective to keep appraisers when the work can be outsourced. Wachovia is going to do it the Wachovia way and save and cut everywhere they can. Even desk reviews are outsourced by lenders including Wachovia and Vertice. Wachovia didn't buy out Golden West for the employees but for the portfolio products which are useless in this market right now and the bank customer base. Wachovia even now after the merger ranks only 9th in mortgage production but the deposit accounts will give them the most income and larger asset base to keep them in the top three.

You're absolutely right...World's customer base plus the Wachovia retail product base will keep Wachovia extremely strong sans World employees.

crazy in san antonio in San Antonio, Texas said: You're absolutely right...World's customer base plus the Wachovia retail product base will keep Wachovia extremely strong sans World employees.

Maybe not as strong as we think...economists evaluating companies that have had post-merger layoffs seem to think that practices like this are a sign of a weak, poorly-managed company. (See www.e-requestinfo.com/mro/archives/exclusives/NoPinkSlips.htm). I'd like to think that once Wachovia has run off all of the super-talented people at World and is left with disgruntled, unhappy, under-pressure, numbers-driven and completely expendable employees, any true talent looking to work for Wachovia won't stay long. This company will reap what it is sowing.

[QUOTE who= It is not cost effective to keep appraisers when the work can be outsourced. Wachovia is going to do it the Wachovia way and save and cut everywhere they can. Even desk reviews are outsourced by lenders including Wachovia and Vertice. Wachovia didn't buy out Golden West for the employees but for the portfolio products which are useless in this market right now and the bank customer base. Wachovia even now after the merger ranks only 9th in mortgage production but the deposit accounts will give them the most income and larger asset base to keep them in the top three.
*************************
You're absolutely right...World's customer base plus the Wachovia retail product base will keep Wachovia extremely strong sans World employees.

Both of the above are correct.....SOCA, you can literally see the writing on the wall...This Forum. Be wise - Go buy yourself a car now, while you can still verify your employment. Things are always changing in life and you've had the benefit of a car and the bennies that go along with it for a long time.

Look at it like this...something good coming to an end, something good about to begin? You have probably long forgotton what it means to work without debilitating pressure to produce. Weren't you the one who said you worked until your fingers ached long into the night sometimes?

Wachovia IS going to strip and absorb Worlds assets and discard depts that cut into profits margins. Sorry, SOCA, When the bean counters finish analyzing the costs of keeping the appraisal dept (car insurance, gas, repairs, maintenance service contracts, etc; Computers, ACI; realquest & mls subscriptions, etc; benefits - 401 k contributions; health insurance; PTO; overtime vs outsourcing....they will have no choice. Its all about numbers, NOT people; and when numbers talk - people become just numbers and Wachova will tell them to take a walk.

somewhere in the chaos in Phoenix, Arizona said: Can't you give us a little more than that? something? anything? I've been smelling the smoke for about 2-3 weeks now, and just a bit of oxygen might help...

take a deep breath. hum day will show the way.

Should I buy that car before Wednesday? ;-)

FEAR MONGERS

Perhaps but I barely survived 1994. It was financially devestating to me. The housing industry is worse in this decade. I would rather be proactive and be wrong then to live in a bubble as I refuse to be homeless again.