San Antonio-based Frost Bank has laid off dozens of its employees across the company, statewide, for the first time in almost two decades.
Frost Senior Vice President Bill Day confirms that 68 out of 4,700 positions were eliminated Wednesday due to the pandemic-stricken economy and low-interest rates.
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The positions were spread out across the company in multiple locations and departments.
“It’s never easy to eliminate positions, but it’s never our first option,” Day said. “It’s the last thing that we do and that’s the way it happened this time around.”
Employees that were laid off will receive a “generous severance package,” according to Day.
This will be the first time since 2002 that Frost Bank has eliminated positions. However, Day said in previous years, the company has had to make other cuts as well, from “top to bottom.”
“We did announce last year that our executive team’s compensation would be cut. Our board members cut their compensation. We’ve cut expenses throughout the company top to bottom the last couple years,” Day said.
Although the layoffs weren’t an easy decision, Day said the company has a better financial grip, going forward in 2021.
“It’s very unfortunate, but we’re in a strong position now to go forward to 2021,” Day said.
Frost Bank currently has 156 financial centers in the state of Texas. To learn more about the company, click here.