Fannie Mae laying off hundreds in D.C. area

January 23, 2009 - 7:14pm

Mark Segraves, WTOP Radio

WASHINGTON - The country's largest financial institution is laying off hundreds of employees, and the decision will have the biggest impact on people in the Washington area.

Fannie Mae has confirmed it is reducing staff as part of a company realignment. The mortgage giant will focus on its most critical priorities, including "preventing foreclosures to help keep people in their homes and aiding in the recovery," the company said in a statement.

Fannie Mae employs about 5,000 people, most located in the Washington area. Several employees learned of the decision Friday. The company plans to hire some employees for its Dallas office.

Fannie Mae would not comment on how many people would lose their jobs, but sources tell WTOP it will be under 500.

The corporation's purpose is to purchase and securitize mortgages in order to ensure that funds are consistently available to the institutions that lend money to home buyers. Fannie Mae earned $44.8 billion in 2007.

Mark Segraves, WTOP Radio

WASHINGTON - The country's largest financial institution is laying off hundreds of employees, and the decision will have the biggest impact on people in the Washington area.

Fannie Mae employs about 5,000 people, most located in the Washington area. Several employees learned of the decision Friday. The company plans to hire some employees for its Dallas office.

Fannie Mae would not comment on how many people would lose their jobs, but sources tell WTOP it will be under 500.

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