U.S. Bank Closing Bedford Facility, 260 Employees To Be Laid Off

BEDFORD, OH — Approximately 260 people will be laid off by October 1, when U.S. Bank closes its mortgage lending offices in Bedford. The news comes amid the bank trumpeting a successful first quarter that saw net revenue grow 3.4 percent year-over-year.

"After a strategic review of our real estate footprint, we have made the decision to close the U.S. Bank satellite office in Bedford, Ohio when its lease expires this fall. We will transfer the Home Mortgage and Consumer Banking work to other U.S. Bank locations. We anticipate the site will close on October 1," Molly Snyder, a U.S. Bank spokesperson told Patch in an email.

Layoffs will start July 9. There is no union or bumping rights for the employees at the Bedford site, according to a letter submitted to the Ohio Department of Jobs and Family Services by U.S. Bank.

There are not currently plans to close any other Northeast Ohio facilities.

It's a curious move for a bank that says it is prospering. After racking up awards from Fortune (which called it the Most Admired Super-Regional Bank), U.S. Bank announced that it's net revenue grew in the first quarter of 2018.

In a release to investors on April 18, Andy Cecere, chairman, president and CEO, of U.S. Bancorp was quoted as saying:

"We reported a solid first quarter, highlighted by a 19.3% return on average tangible common equity. We delivered solid growth in net interest income and high return fee businesses such as corporate payments, credit card, and wealth management and investment services. We continue to invest for the future and I’m pleased with the progress we are making on initiatives aimed at advancing our digital offerings and expanding our treasury management and payment services capabilities. This is a rapidly evolving banking environment and we are positioning this company to be a trusted partner to our customers, with the products and services that enable them to do what they want, when, where and how they want. As we continue on this journey, I am grateful to our customers for their trust and to our employees for their commitment to our continued success.”

Then, on May 8, the bank sent a letter to the Ohio Department of Jobs and Family Services saying it would shut down the Bedford office and layoff about 260 people.

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