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View Full Version : $45 billion bailout Bank of America to lay off 30,000 and ship jobs overseas



Sammich
30-May-2012, 01:06 AM
How many of the TARP cheerleaders are still claiming that these "too big to fails" had to be bailed out or it would have cost tens of thousands of American jobs?

3 Years After Taxpayer Bailout, Bank of America Ships Jobs Overseas (http://www.motherjones.com/politics/2012/05/bank-of-america-outsourcing-call-center-philippines)

Bank of America, which last fall announced plans to lay off 30,000 workers, is about to go on a hiring spree—overseas.

America's second-largest bank is relocating its business-support operations to the Philippines, according to a high-ranking Filipino government official recently quoted in the Filipino press. The move, which includes a portion of the bank's customer service unit, comes less than three years after Bank of America received a $45 billion federal bailout.

"But the banks paid back the bailout money!", you say? "The government made money from the paid back bailouts!", you say?

Not so fast there, buddy.

Banks Repaid Fed Bailout With Other Fed Money: Government Report (http://www.huffingtonpost.com/2012/03/09/bank-tarp_n_1335006.html)

But 48 percent of the banks that have repaid the CPP used money they'd gotten from other federal programs, according to the GAO report. Those programs include the Community Development Capital Initiative -- another TARP program -- and the Small Business Lending Fund, a program designed to encourage lending to small businesses. Both of those programs have more favorable borrowing terms for the banks than the original CPP.

This reminds me of people that get far in debt on a credit card and then joyously declare they paid off the balance...with other credit cards! The difference is that the banks are borrowing all of this money from the fed at near 0% interest. All the while these same banks continue to add on and increase service fees to the consumers.

Mr. Clean
30-May-2012, 01:10 PM
How many americans you seen jump out of the unemployment line to take a job as a customer service rep at a call center making min wage or very close to it?

Can't really say I blame BOA for the move but I said even before the government bailed out the banks and the automotive industry that doing so would be a mistake. People need to be held responsible for their actions...especially big shot CEOs and Presidents making multi-million dollar salaries topped with million dollar bonuses.

LouCipherr
30-May-2012, 01:29 PM
Can't really say I blame BOA for the move but I said even before the government bailed out the banks and the automotive industry that doing so would be a mistake. People need to be held responsible for their actions...especially big shot CEOs and Presidents making multi-million dollar salaries topped with million dollar bonuses.

This. There should be no such thing as "too big to fail" in a capitalistic society. You take your chances when you open your business - if it fails, it fails, I don't care how big your company gets. NO ONE is "too big to fail"

Sammich -



Banks Repaid Fed Bailout With Other Fed Money: Government Report

But 48 percent of the banks that have repaid the CPP used money they'd gotten from other federal programs, according to the GAO report. Those programs include the Community Development Capital Initiative -- another TARP program -- and the Small Business Lending Fund, a program designed to encourage lending to small businesses. Both of those programs have more favorable borrowing terms for the banks than the original CPP.

Reminds me of GM. Everyone was SO excited when GM announced "we paid back our government bailout!" but what they didn't realize is, GM just robbed Peter to pay Paul. They borrowed money from somewhere else at a lower interest rate than the government was giving them, and paid back the gov't... but they certainly aren't out of the woods so-to-speak.

I can't believe we let this shit go on... I really can't.