Chemical Bank expected to close 38 branches, 230 jobs.

Chemical Bank expected to close 38 branches, 230 jobs.

Chemical Bank has filed documents with the US Securities and Exchange Commission announcing a 7 percent reduction in staff as well as bank consolidations. The cost-cutting initiative is expected to generate $20 million in annual savings. The reductions will affect about 230 of the corporation’s 3,500 employees in 38 branches. According to reports, the initiative follows the trend in the banking industry to reduce branches as customers increasingly use online and mobile banking.

Chemical Bank is also expected to put more emphasis on commercial lending.

The bank has two branches in Mason County, one downtown Ludington and another on US 10-31 in Amber Township, but it has not yet publicly announced which branches it will close, nor has it announced if any of the local branches will close. In 2014, Midland-based Chemical Bank acquired Traverse City-based Northwestern Bank, which owned the Mason County banks. 

In 2016, Chemical acquired Talmer Bancorp making it the largest Michigan based bank with assets of $18.78 billion and $13.20 billion in deposits.

The branch closings are expected to take place during the fourth quarter of this year.