- Wells Fargo has laid off some employees and fired others in its mortgage division.
- It’s also faced scrutiny over lending and hiring practices.
- Here’s the latest on what’s happening at the bank, and how its CEO is changing its leadership ranks.
The road to victory has not been easy for Charlie Scharf.
Scharf, 57, was placed at the helm of Wells Fargo in 2019 to help the San Francisco bank navigate its way out of a series of consumer scandals. In that time, he’s made some big moves, including overhauling the bank’s leadership ranks and beefing up compliance. But controversy continues to haunt to the nation’s third largest bank.
Despite Scharf’s efforts, Wells Fargo was accused in June of conducting sham interviews with women and nonwhite candidates for jobs that had already been given to others. In March, Bloomberg said the bank had engaged in discriminate lending practices, which Wells Fargo denies. It also recently fired dozens of loan officers it had accused of improperly changing home valuations in its internal system to trigger
appraisal
waivers.
Scharf was put in place specifically to help the bank move beyond a series of scandals that began with the 2016 regulatory fines over the opening of fake accounts. The fake account scandal led to a
Federal Reserve
asset cap that the bank is still subject to, limiting its growth, all while Scharf has pledged to cut $10 billion in costs from the bank’s bottom line.
Here’s a rundown of what’s happened since Scharf took the helm, including layoffs and firings, hiring issues, and what the bank’s leadership looks like now.
How Scharf is making changes
Scharf has dramatically overhauled the bank’s leadershipsince he became CEO in 2019. Wells Fargo has brought in more than 90 top executives from outside the bank in that time.
Wells Fargo has also “drastically changed” how it operates its…
Read More: Layoffs, Hiring Scrutiny, Mortgage Cutbacks
