Ditech, a home loan company, will lay off what remains of its 210 employees in downtown St. Paul, Minn., and consolidate its mortgage servicing operations in other locations.
The news comes as little surprise to industry officials, who had watched its ups and downs in the marketplace for years. The Pennsylvania-based company, which maintains a dwindling second headquarters within the Landmark Towers at 345 St. Peter St., informed the city of St. Paul, Ramsey County and the Minnesota Department of Employment and Economic Development a year ago that it would be downsizing.
“At that time we had no definitive plans to close the site,” reads a March 29, 2019, letter from Senior Vice President and Chief Human Resources Officer Elizabeth Monahan to the same officials. “Management has now determined that it is in the best interest of the company to close the St. Paul facility on or before May 31. … The planned job losses are permanent and the planned site closure is permanent.”
The company had previously announced layoffs in St. Paul in 2017, and in 2018 announced it would let go 450 people from its call center in Rapid City, S.D.
St. Paul-based employees have been invited to apply to work in other locations, and some have been invited to work from home.
Ditech was previously known as Green Tree Financial, which exited the home loan industry entirely during the housing crisis and recession of 2008 but re-emerged after five years.
Tribune Content Agency