Laid off from State Street.
State Street's recent cuts are on record in what it tells investors, with $211 million booked for workforce rationalization in 2025, $79 million more in early 2026, and a July 2026 overhaul its CFO said would flow through to headcount. Our tracker's newest State Street filing dates to 2019.
At a glance
What's known about State Street severance and layoffs
- About $500 million, mostly severance · State Street's one-time overhaul costs, per its CFO
- $79 million · Workforce rationalization charge, first quarter 2026
- $211 million · Workforce rationalization charges in 2025
- Down about 3% from a year earlier · State Street headcount by mid-2026, per the call summary
- About $1 billion run rate by 2029 · Transformation benefits target
- None · State Street filings in our tracker since 2025
- Four, the newest from Austin in 2019 · All-time State Street filings in our tracker
Recent State Street layoffs
State Street's CFO put the July 2026 overhaul's one-time costs at about $500 million, mostly severance
On its July 16, 2026 earnings call, State Street set a 35% pre-tax margin target and about $1 billion in run-rate transformation benefits by 2029, three-quarters of it from expense productivity. CFO John Woods said reorganizing the business technology and operations teams would "flow through to headcount," and put one-time severance costs at about $500 million, reflecting the potential scale of gross headcount reductions.
Previous rounds
State Street layoff history
State Street's 2026 overhaul came with numbers attached. On a July 16 earnings call the Boston bank set a 35% pre-tax margin target and about $1 billion in run-rate transformation benefits by 2029, three-quarters of it from expense productivity, and the Boston Business Journal reported that the bank had dubbed the project One State Street, starting from a 31% margin. CFO John Woods said reorganizing the business technology and operations teams would "flow through to headcount," and he put the one-time severance costs at about $500 million, a figure reflecting the potential scale of gross headcount reductions. That's a rough thing to read if your job sits on one of those teams.
The filings put dollars on what has already happened. State Street booked $79 million for workforce rationalization in the first quarter of 2026, inside an $89 million repositioning charge, after $211 million for the same purpose across 2025. In the second quarter of 2025 the bank eliminated about 900 jobs, the Boston Business Journal reported, and headcount went from 52,711 to 52,014. Chief executive Ron O'Hanley told investors that quarter's charge "illustrates the opportunity as we drive further operational efficiency and unlock productivity gains over time, supported by AI and continued platform scaling." A year later, The Motley Fool's summary of the July call had headcount down about 3%.
In December 2023, CFO Eric Aboaf told a Goldman Sachs conference to expect a fourth-quarter charge of about $175 million to $200 million, "attributable to severance costs primarily related to about 1,500 head count reductions," with the actions beginning at the start of 2024. He counted integrating State Street's joint venture operations among the productivity efforts, and that week the bank took full control of Statestreet HCL Services, its Indian joint venture with HCL Tech. A company spokesman said State Street would continue its focus on internal mobility and redeployment of roles to limit the impact. The 10-K later recorded $182 million of employee-related repositioning accruals for 2023, then a $2 million net release in 2024.
The 2019 round started at about 1,500 jobs, more than 3% of the workforce and 15% of senior managers, and in July the target rose to 2,300 by year's end. O'Hanley said "structural costs are still too high and our automation efforts have not moved fast enough," and that the cuts were global, with "some in Boston," at a time when State Street had about 12,000 employees in Massachusetts. That September it sent Texas a WARN letter for 60 jobs at two Austin offices, permanent and without bumping rights. The human resources executive who signed it called the move "just a change in our tech strategy" and said a group would stay in Austin.
Those Austin notices are the newest of the four State Street filings in our WARN tracker. The other two are State Street Bank & Trust filings from Princeton, New Jersey, effective in 2009 and 2011, so none of the reductions from 2023 on appears there. By Massachusetts' own summary, a WARN notice from an employer with 50 or more on staff is due at the state labor office 60 days or more before a layoff or closing, and the office posts a weekly WARN report with the table data downloadable. If you're filing for benefits, the Massachusetts unemployment guide covers the claim, and Austin readers have the Texas guide.
The severance figures State Street has given, $175 million to $200 million in 2023 and about $500 million for the 2026 overhaul, are company-wide totals, and neither describes a package for one person. If an offer reaches you, get the terms in writing, along with any signing deadline they set. Since the company said in 2023 that it wanted to limit the impact of cuts through internal mobility, ask HR in writing whether open internal roles are available to you before you sign, and read up on how severance agreements get negotiated before any deadline in the offer passes.
Reporting on previous State Street layoff rounds
2026, first quarter · $79 million of compensation and benefits expense for workforce rationalization, part of an $89 million company-wide repositioning charge.
2025 · About 900 jobs in the second quarter, as reported, with headcount going from 52,711 to 52,014 and $100 million in company-wide restructuring costs. The 10-K puts the full year's workforce rationalization expense at $211 million.
2023, December · About 1,500 head count reductions, announced by CFO Eric Aboaf at a Goldman Sachs conference, with actions starting at the beginning of 2024 and a company-wide charge of about $175 million to $200 million that he attributed to severance costs. The company confirmed the cuts while the locations were still unclear.
2019, Austin, Texas · 60 jobs at two Austin offices, 51 on Alterra Parkway and nine on Domain Blvd., permanent and effective November 13, per the WARN letter as reported.
The letter gave the affected employees no bumping rights over colleagues with less time at the company.
2019, company-wide · About 1,500 jobs, more than 3% of the workforce, including 15% of senior managers, a target raised in July to 2,300 by year's end. The fourth-quarter 2018 results announced alongside the cuts carried a $223 million company-wide restructuring charge.
2009 and 2011, Princeton, New Jersey · Two State Street Bank & Trust filings in our tracker, 80 jobs effective June 2009 and 270 effective May 2011.
What to do after being laid off from State Street
- File for unemployment in the state where you worked. Benefits run from your filing date, and severance usually doesn't block you. State Street's biggest hubs: Massachusetts, Texas, New Jersey. Somewhere else? Every state is here.
- Apply for financial and hardship assistance. Unemployment supplements income, but food benefits, health coverage and utility help are often available as well. Here's some of what State Street's hub states run: Massachusetts, Texas, New Jersey, and every other state is here.
- Mind the health insurance window. Losing coverage opens a 60-day special enrollment period, and an ACA plan usually beats unsubsidized COBRA. Compare your options before the employer coverage lapses, and read how the COBRA clocks run if you are weighing it seriously.
- Get your real runway number. Severance plus savings divided by reality. The calculator takes five minutes.
- Know which clocks are already running. Severance review windows, COBRA election, visa grace periods, and 401(k) rollovers all run on federal deadlines that started at termination. All five deadlines are here.
State Street layoff and severance questions
Is State Street laying off employees in 2026?
State Street booked $79 million for workforce rationalization in the first quarter of 2026. In July, CFO John Woods said reorganizing the business technology and operations teams would flow through to headcount, and put the one-time severance costs at about $500 million. The Motley Fool's summary of that call had headcount down about 3% from a year earlier. Our tracker holds no State Street filing dated 2025 or later.
How many jobs did State Street cut in 2025?
Reporting in July 2025 put the second quarter's cuts at about 900 jobs, with headcount going from 52,711 to 52,014, and State Street reportedly said it paid $100 million in related costs. For the whole year, its 10-K records $211 million of compensation and benefits expense for workforce rationalization.
What's the One State Street plan?
The Boston Business Journal reported that State Street dubbed its 2026 transformation project One State Street, a plan to use AI and streamline operations to lift its pre-tax margin from 31% to 35% in the medium term. The Motley Fool's call glossary uses the name more narrowly, for tying the servicing, management and markets businesses together. The transformation's target is about $1 billion in run-rate benefits by 2029, three-quarters from expense productivity.
Does State Street pay severance to laid-off employees?
The figures on record are company-wide totals. In December 2023, Aboaf tied a $175 million to $200 million charge to severance for about 1,500 reductions, and in July 2026 Woods put the overhaul's one-time severance costs at about $500 million. Neither statement describes a package for one person, so get your own terms in writing, including any signing deadline they set.
Has State Street filed WARN notices for its layoffs?
Our tracker holds four State Street filings all-time. Two are State Street Bank & Trust notices from Princeton, New Jersey, effective in 2009 and 2011, and two are the September 2019 Austin notices covering 60 jobs. None is dated 2025 or later. Massachusetts, home to State Street's Boston headquarters, posts the WARN notices it receives in a weekly report.
Where do I file for unemployment after being laid off from State Street?
In the state where you worked, not where the company is headquartered. State Street's biggest U.S. hubs are Massachusetts, Texas, New Jersey. Severance usually doesn't block you from filing, and benefits run from your filing date, so file the same week.
Is it OK to file for unemployment after a layoff at State Street?
Yes. Unemployment insurance is funded by payroll taxes employers pay on wages, the claim never appears on credit reports or background checks, and future employers cannot see it. If the hesitation itself is the obstacle, whether filing is OK has its own article.
What happens to my health insurance after a layoff at State Street?
Your plan sets the end date rather than the law, so the separation packet is where that date actually lives, and it is often the last day of the month rather than your last day of work. After coverage ends, COBRA lets you keep the identical plan by paying the whole premium yourself, up to 102 percent of what the plan really costs, which lands as several times the payroll deduction you were used to. You get 60 days to elect, counted from the later of coverage ending or the election notice arriving, and electing reaches the coverage back to the day the old plan stopped so no gap exists. How continuation coverage works walks the timing, and whether to take it rather than a marketplace plan is a separate decision.
Should I sign the severance agreement right away?
First pin down how much review time you actually have. If you're 40 or older, federal law gives you 21 days to consider an agreement that waives age claims, 45 in a group layoff, and a waiver signed under a shorter deadline can be invalid. If you're under 40, no federal window applies and the deadline in your packet may be real, so confirm it in writing and ask for more time if you need it. Use whatever window you have to read the release terms, especially non-disparagement and no-lawsuit clauses, and don't stall past a real deadline, because offers can be withdrawn.
Can I collect unemployment if I got severance from State Street?
Usually yes, though some states delay benefits until severance pay periods end, and lump sums are treated differently than salary continuation. Check your state's rules on our state benefit pages, and file immediately either way so your claim date is locked in.