Flagstar Bancorp, pending a merger with New York Community Bank, did its second round of mortgage sales and operations layoffs on 4/22. Round one was late March and approx 150 employees affected. Second round was much larger. 27 loan officers gone, unsure about ops staff. Sales staff got NO severance but will be paid commission on closed deals through 6/6. Ops (processing, underwriting and closing) receiving 2 weeks severance and benefits through May. This is disgusting for a company who had record profits and growth through 2020-2021. Other banks offering significant severance, career counseling or voluntary buyouts… Flagstar employees were told on Webex to hit the bricks. I hope it’s worth it because plenty of those of us who are left will be making our abrupt exits post haste. We all gave this company our lives for two years to achieve record growth through the refi bo-m and now are watching our hardworking friends be put out to dry by this greedy company. “Thanks for all the hard work, now pi-s odd!” Shame on you, FLAGSTAR BANK!!!
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Well, I joined flagstaff as a contractor with just an informational interview. After one week, on Friday - suddenly my access got cut off. I was surprised, only to get the message that I was let go. All I can say is good riddens. I used flagstar bank as a gap employer… I was going to quit anyways. But I noticed dysfunction across the organization. I am glad I am out of that mess.
The employees are very toxic and create drama, throw their egos around and are unemployable outside. It’s a stinking sewage over there!
800+ employees affected by the layoffs 1/26. Retail operations winding down entirely.
Flagstar cleaned house today. Branches closed and entire departments eliminated.
Another rounds of layoffs 9/22/22
I was laid off During the 4/22 Zoom meeting. They paid well, too well. No company is going to keep you when profits and business lags. Always prepare your finances to be unemployed if you plan on being in this industry. It was great while it lasted! Onto a different line of work! This one is dried up for at least the next 3 years!
Another round of layoffs affecting all loan sales and operations staff occurred today, July 19th. This is the 4th round..
This explains a lot. I applied for some jobs at Flagstar around this time last year. Assumed I was rejected (got an offer from another company & took it). I checked the Flagstar job portal today since I got laid off from the job I accepted... they actually didn't mark my applications as rejected, held, or anything... the status of each application is still blank... a year later! Good luck you guys.
After being laid off from Flagstar 3 years ago, after 15+ years of service with NO SEVERANCE, nothing surprises me about that place.
Layoff without severance pay.This is the first i have experienced this.Shame on this company.Wont advise anyone to work for them.
https://www.nationalmortgagenews.com/news/flagstar-bank-reduced-its-mortgage-staff-by-20
So this would explain why their job board was looking so lean when I looked
Flagstar is now offering the laid of employees positions in their call center, which is an approximate 30% pay cut for most. This is likely an effort to dodge unemployment insurance claims.