Glendale Fed Unit to Expand
Glendale Federal Savings will consolidate its nationwide, four-office mortgage loan servicing operation at its Sorrento Valley location, a move that will increase employment there from 140 to 300 workers by early next year.
The consolidation is forcing Glendale to close loan service offices in Glendale, Fresno and Ft. Lauderdale. The move will reduce payroll by 100 jobs.
Just how many of these job cuts will occur through layoffs will depend on how many of the employees affected, many of them clerical and mid-management personnel, accept transfers to San Diego, Glendale spokesman Roger Rittner said. Some of the employees affected will be offered jobs in other Glendale Federal departments.
The consolidation, which is to begin immediately, will centralize the servicing of 308,000 loans totaling $23 billion in assets to borrowers in all 50 states. Glendale Federal said a plant expansion will not be necessary to accommodate the consolidation.
Glendale is the nation’s fifth-largest originator of mortgage loans, Rittner said, and the fifth-largest S&L; in the nation, with $25 billion in assets and 219 branch offices in California and Florida.
Glendale Federal acquired its Florida loan-service operation when it bought a loan-processing unit from Merrill Lynch two years ago, Rittner said.
The combined loan-service operation will be headed by Don Black, now manager of Glendale Federal’s California Retail Group Loan Service Center in Glendale.