Merger of Citizens, Santa Barbara Banks Leaves 18 Jobless

Eighteen people have lost their jobs as a result of the merger between Santa Paula-based Citizens State Bank and Santa Barbara Bank & Trust.

The $16.17-million merger was announced in June and became official Wednesday.

Most of those who have received pink slips are in clerical support positions in Fillmore and Santa Paula, said Sue Chadwick, the bank’s regional vice president.

“That’s the difficult part of this,” she said of the layoffs. “We have been working with those folks to find other positions for them in our organization.”

Some employees have already been let go, but others will remain during a transition period, Chadwick said. A total of 23 Citizens workers will join the combined company, she said.

The wave of bank mergers in recent years left employment in the county’s finance sector at 4,700 in August, about 100 fewer than nine years ago, said Dee Johnson, a labor analyst with the state Employment Development Department. Employment in the county’s finance industry peaked at 5,900 in 1990.

Customers will see new signs Nov. 10 declaring Citizens’ two branches in Santa Paula and one in Fillmore part of Santa Barbara Bank & Trust, Chadwick said.

Despite the succession of mergers in recent years that have alienated many customers and driven them to rival banks, Chadwick doesn’t anticipate that will occur in this case.

“I think the customers are obviously concerned,” she said. “Hopefully the customers won’t see any changes apart from the name on the door and the name on their checks.”

Founded in 1929, Citizens was the county’s oldest bank and enjoyed a 40% market share in the Santa Clara Valley. Santa Barbara Bank & Trust moved into Ventura County 2 1/2 years ago.

Both saw deposits increase as annoyed customers turned away from banks that had merged, but Chadwick said she doesn’t expect a similar backlash.

However, Gwynne Jacinto, an accountant with Fillmore Unified School District, said First Western Bank is aggressively courting the district’s accounts with Citizens.

“We’re getting a little tired of these conversions happening,” she said. “The bottom line is what they can do for us.”

The acquisition will make Santa Barbara Bank & Trust the largest independent bank in Santa Barbara County, with $230 million in deposits and seven branches in western Ventura County. Two more branches will open in Camarillo and Port Hueneme by January, Chadwick said.