Wells Fargo has resumed its previously announced job cuts, which the bank put on hold due to the Covid-19 pandemic, Bloomberg reported.

The lender has decided to begin slashing jobs again as part of a broader cost-cutting initiative as it grapples with loan losses caused by the pandemic.

In recent weeks, the San Francisco-based bank “quietly” ended a moratorium on terminations to make deeper cuts, the report added.

In a statement, Wells Fargo spokesperson Beth Richek said: “Starting in early August, we resumed regular job displacement activity.

“We are at the beginning of a multiyear effort to build a stronger, more efficient company.

“We expect to reduce the size of our workforce through a combination of attrition, the elimination of open roles and job displacements.”

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The move is expected to ultimately reduce the bank’s workforce by tens of thousands of positions.

Initially, the job cuts will affect staff who are already under the layoff plan announced by Wells Fargo before the pandemic.

After that, the bank will cut the management ranks and underperformers in order to cut down expenses.

The full scope of redundancies has not been determined yet, the Bloomberg report added.

Wells Fargo said it will provide the affected employees with compensation and career assistance.

Additionally, the cost-cutting initiative will also involve cuts to third-party spending.

Earlier this month, Wells Fargo extended remote working until October and decided to slash consultancy costs.

Last week, NatWest decided to cut nearly 500 retail banking jobs amid Covid-19 pandemic

Earlier this month, TSB announced its plan to make cashier roles redundant by next year, which may risk hundreds of jobs.