TD Bank to axe around 2% of employees in restructuring program
TD Bank has revealed that it plans to axe two per cent of its workforce as part of a restructuring program.
The financial institution says it started the new restructuring program in the second quarter of 2025 to “reduce its cost base and achieve greater efficiency.”
TD Bank currently has about 95,000 employees. It says the restructuring will cost between $600 and $700 million pre-tax over the next several quarters. This will supposedly generate savings of approximately $100 million pre-tax in 2025 and annual savings of $550 million to $650 million pre-tax, including savings from the two per cent workforce reduction.
DW labs Incorporated/Shutterstock
This comes after the company agreed to pay approximately US$3.1 billion fine from U.S. regulators in an anti-money laundering case last year.
“This is a difficult chapter in our Bank’s history. These failures took place on my watch as CEO and I apologize to all our stakeholders,” said Bharat Masrani, former CEO of the TD Bank Group, in a statement from October.
New CEO Raymond Chun replaced Masrani in February.
“Our U.S. balance sheet restructuring is on track, and we are making consistent progress on AML remediation,” Chun stated in the TD Bank second quarter report released on Thursday.
“We are well positioned as we enter the second half of the year, and we continue to strengthen our Bank by investing in the client experience, enhancing our digital capabilities, and simplifying how we operate to achieve greater speed and execution excellence.”
The financial institution says its restructuring program is subject to some uncertainties based on its predictions regarding certain factors like talent re-deployment opportunities, years-of-service, and decisions to expand on or reduce the restructuring actions.
This isn’t the only major company to announce lay offs this year.
Bell Media announced more job cuts in February as part of “ongoing transformation.”