Nationwide Insurance more than doubles number of layoffs in Des Moines
Kevin HardyNationwide Insurance issued 191 layoff notices to Des Moines workers this month — more than double the number previously announced by the company.
In November, Nationwide said it would cut about 80 positions at its downtown Des Moines offices as it sought to reduce its national workforce by about 1,100 positions.
"As we’ve continued to implement our business plans, we are realizing a larger impact in Des Moines than what we originally shared in November," Joe Case, a spokesman for the Columbus, Ohio-based company, told the Des Moines Register.
The 191 Des Moines employees received a 60-day notice on Feb. 13. Case said it's unclear how many will leave as some have found alternative roles within the company.
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Nationwide has posted 875 open positions, including 101 in Des Moines. With about 3,700 jobs, it's one of the largest employers in the Des Moines metro area.
All affected employees who do not find other jobs are eligible for a severance package and outplacement services.
"We are committed to moving through this period with great respect and full support for those impacted," Case said.
Nationwide received millions in Iowa taxpayer incentives when it built and expanded its 767,000-square-foot downtown Des Moines campus.
State reports show the insurance company received $16.8 million in Enterprise Zone tax credits in 2000 and another $18.8 million in Enterprise zone tax credits in 2005.
The 2005 award required Nationwide to maintain at least 3,460 jobs through October of 2023. Officials with the Iowa Economic Development Authority said the company is in compliance with those rules because it still employs more than the minimum requirement.
The company also received $7.65 million from the state's Physical Infrastructure Assistance Program, which is now defunct.
In November, Nationwide said the local job cuts would occur mostly in IT, marketing, property and casualty operations, and bank organizations. In February 2018, the insurer announced it would slash about 50 Des Moines employees from its mortgage division.
Nationwide leaders previously said workforce needs were evolving as the company "implements new technologies and modernizes for the future."
"Our digital modernization, our distribution evolution and the formation of emerging partnerships all position us to meet customers where they are," Case said in November. "As we implement new technologies and become more efficient across our businesses, our workforce requirements are changing."
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