TIAA-CREF said that it is laying off about 500 workers, or 8% of its workforce, Reuters reports. Most of the cuts came in the computer systems areas, largely from the New York office.
The pension plan manager, also known as the Teachers Insurance and Annuity Association and College Retirement Equities Fund, is a nonprofit and also manages mutual funds for the general public. The group manages about $290 billion in assets and is the largest provider of individual pension plans for U.S. colleges and universities.
The cuts were the result of a six-month review of firm costs. No investment professionals were among those let go. The firm said the move was made to trim expenses and that 29% of its expenses have been on computer systems and other information technology. This is well above the 15% to 20% seen by other financial services firms, TIAA-CREF said.