Bermuda-based monoline insurer Security Capital Assurance Ltd. (SCA) announced that it will reduce its workforce by approximately 60 positions.
“The reductions are focused largely on the insurance business origination staff and are intended to reduce long term operating costs and align resources with current needs,” said the bulletin.
“Decisions such as this one are always difficult, but as we are not writing new business at this time, today’s action was necessary,” stated President and CEO Paul Giordano, “Our action today is consistent with our recently described plans, and we intend to treat our employees as fairly as we can under the circumstances. I am grateful for all the hard work and dedication of our employees, and for their continued professionalism in this very difficult environment.”
Job losses are the latest fallout from SCA’s exposure to the subprime credit crisis, which has also affected XL Capital, as it has a substantial stake in the Company (See IJ web site – https://www.insurancejournal.com/news/international/2008/01/28/86755.htm).
Source: Security Capital Assurance – www.scafg.com.
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