Wells Fargo CEO Charlie Scharf said Tuesday that low staff turnover means the company will likely book a large severance expense in the fourth quarter.
“We have seen turnover come down and so because of that, we’re likely going to have some more severance than we otherwise would’ve anticipated,” Scharf said during a Goldman Sachs conference.
“We’re looking at something like $750 million to a little less than a billion dollars of severance in the fourth quarter that we weren’t anticipating, just because we want to continue to focus on efficiency,” Scharf said.
That expense is an accrual for employee layoffs and relocations Wells Fargo expects to make next year, according to a spokeswoman for the bank.
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