WaMu to offset 1,000 layoffs in home loans with retail hires

Staffing in home loans down 28% since 2005

Washington Mutual will lay off about 1,000 employees in its Home Loans Group around the country as it closes its Mortgage Banker Finance business and restricts WaMu Capital Corp. to securitizing only WaMu loans.

A WaMu Home Loans spokeswoman said the layoffs are a response to changing mortgage market conditions, but are taking place in conjunction with hiring that’s intended to accelerate growth in the company’s core businesses — retail, consumer direct and wholesale lending.