Wells Fargo cuts 26,500 jobs, shutters branches, declares "excess capital" and drops $40.6 billion on stock buybacks | WHAT REALLY HAPPENED


Wells Fargo cuts 26,500 jobs, shutters branches, declares "excess capital" and drops $40.6 billion on stock buybacks

Wells Fargo is America's most scandal-haunted bank, which is quite an accomplishment in a heavily competitive field; now the bank has started closing its branches and cutting jobs (after pressuring employees to commit mass fraud on pain of being fired and blacklisted from the industry).

The company has also declared itself to have an "excess of capital" and has committed to spending $40.6 billion on stock buybacks -- a form of financial engineering that drives up stock prices without improving the company's underlying financials or business. Some of Wells Fargo's largest individual shareholders are its executives, who've effectively just voted to give themselves massive, multi-million-dollar raises.

The buybacks come on the heels of Trump's latest round of tax-cuts, which he said would boost jobs and wages, despite the fact that they encourage financial engineering of the sort that leads to business units shutting down, their workers being fired, and the responsible execs pocketing tax-free fortunes.

Wells Fargo has laid off 26,500 employees since the Trump tax-bill passed.

Tags:

Comments

SHARE THIS ARTICLE WITH YOUR SOCIAL MEDIA