What You Need to Know
- The latest job cuts at TD Ameritrade come amid its ongoing integration with Charles Schwab.
- Meanwhile, Schwab says it's expanding its workforce at a record pace to support areas of growth in the combined company
- Schwab expects to continue making periodic, targeted job eliminations as it moves toward account conversion.
Charles Schwab has eliminated more jobs at TD Ameritrade, including at least three of its executives, as part of the ongoing integration of the two firms.
Among the jobs cut were Vanessa Oligino, managing director of RIA Practice Management at TD Ameritrade Institutional; Greg Menefee, director of institutional consulting and sales support and implementation; and Scott Leak, director of institutional sales, an industry source told ThinkAdvisor on Friday.
“Achieving our goals for the integration of TD Ameritrade requires difficult but necessary changes designed to create the strongest firm possible,” according to Schwab spokeswoman Mayura Hooper.
“Today we took another step forward in that process by notifying a small number of our colleagues that their roles have been eliminated as part of integration-related reductions in duplicative roles or realignments of responsibilities across the two firms,” she told ThinkAdvisor on Thursday.
She declined to elaborate on the specific positions cut, including how many jobs were eliminated.
However, a report Tuesday from WealthManagement, citing a source close to the company, said about 50 employees were laid off.
On Friday, Schwab said new and existing clients brought in $37.2 billion of core net new assets in April, up 143% from a year ago but down 41% from March. Total client assets were $7.34 trillion as of April 30, a 4% jump from March and a 94% year-over-year-increase (which includes assets from the TD Ameritrade deal).
Three months ago, Schwab disclosed that it slashed about 200 jobs as part of its ongoing integration with TD Ameritrade. These job cuts were in addition to the more than 1,000 jobs the company already said it was eliminating across the two firms following the finalization of the $22 billion deal in November.