Ditech Financial is laying off 116 workers as it is moving more of its operations outside of St. Paul.
The home loan provider sent a letter last week to St. Paul Mayor Melvin Carter, Ramsey County Commissioner Jim McDonough, and the state Department of Employment and Economic Development about the recent job terminations which follow an earlier round of 117 layoffs announced last summer.
Ditech currently has offices in Landmark towers on St. Peter Street close to Rice Park. A Ditech representative couldn’t be immediately reached Monday.
“Management has determined that it is in the best interests of the company to consolidate our mortgage servicing operations in company locations other than St. Paul,” Elizabeth Monahan, human resources chief at Ditech Holding Corp., wrote in the letter. “Presently we have no definite plans to close the St. Paul site. However, the transition of work from St. Paul to other company locations is anticipated to result in jobs losses at the St. Paul site throughout 2018.”
Many of the job losses would occur before the end of June. The current round of layoffs started March 5 and is expected to continue until August 31.
If Ditech determines that it will close its St. Paul office, the company said it would update its notice.
Last August, Ditech announced 117 employees would be let go in phases. In February, Ditech’s parent company Walter Investment Management Corp. emerged from Chapter 11 bankruptcy and changed its name to Ditech Holding Corp.