2500 bank layoffs saves $125 million per year

National City Bank layoffs show the subprime crisis is not going away any time soon. The losses have forced the company to cut costs, laying off 2,500 employees, about $125 million in annual personnel expense. National City has also cut back on new non-agency mortgages and home equity products, and transferred $4.4 billion of loans that had been held for sale to its own portfolio. Remaining loans for syndication have been revalued to current market prices.

Please note that $125 million divided by 2500 employees means everyone makes $50,000 per year on the average.