F&G Annuities eliminated 192 of about 1,400 employees Tuesday.
The Des Moines, Iowa-based company said today in an email that the reduction in force affected employees at the headquarters offices along with employees in remote locations.
"This is in alignment with the company's goals to efficiently scale the business and ensure our long-term success," the company said. "We're providing support to impacted team members, including a comprehensive separation benefits package."
Des Moines-area employers like Sammons Financial and Wellmark Blue Cross and Blue Shield have been posting offers of help with job hunting on LinkedIn.
F&G sells fixed indexed annuities, multi-year guaranteed annuities, registered index-linked annuities and fixed indexed universal life insurance.
Executives from F&G and Fidelity National Financial, the title insurer that owns about 85% of F&G's stock, hinted earlier this month that belt-tightening might be coming when they talked about earnings for the first quarter with securities analysts.
Fidelity National has faced pressure on sales because of the impact of higher interest rates and increased economic volatility on home sales.
F&G has reported strong sales of RILA contracts but said it let MYGA sales fall because of considerations related to access to reinsurance and uncertainty about the state of interest rates.
But Christopher Blunt, F&G's CEO, told the analysts participating in a conference call that he was confident about the company's ability to meet the performance targets it set for 2025.
One reason is "the expense piece," Blunt said. "We're driving that operating expense ratio down, and we will continue to do so. That's 100% in our control."
Mike Nolan, Fidelity National Financial's CEO, said executives at the company know how to manage the business.
"If revenues are going down, we focus on reducing our expenses," Nolan said.
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