West Chester company’s closure means loss of 135 jobs

A company closing its West Chester Twp. operations will mean the loss of more than 100 jobs.

Transamerica Life Insurance Company will be closing its operations at 8488 Shepherd Farm Drive, the company disclosed in a letter to Ohio Department of Job & Family Services.

“As a result, the company will lay off approximately 135 employees beginning February 3, 2017,” the Baltimore-based company said in the Dec. 2 letter. “The layoffs are expected to occur through late 2017.”

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Transamerica Life Insurance, which acquired the West Chester Twp. location in 2008, intends to offer its affected employees severance benefits and transition programs, including outplacement services.

The company is a unit of Dutch firm Aegon N.V., which purchased Transamerica Corp. for $9.7 billion in cash and stock in 1998.

Transamerica Life Insurance has 10,000 employees nationwide, providing life insurance and savings products, individual and group pension plans, as well as asset management services, according to the company’s website.

There are about 150 jobs affected by the West Chester location closure. Fifteen 15 employees in West Chester are being offered other working arrangements, according to Transamerica spokesman Greg Tucker.

In assessing its geographic footprint in terms of meeting core execution needs, Transamerica has determined that it will close its offices in Los Angeles and Folsom, Calif., and in West Chester over the course of 2017, Tucker said.

“In addition to those employees impacted by the office closures, we will be eliminating positions in other locations representing various functional areas across the company,” he said. “The position eliminations total approximately 800.”

Limiting its bases of operation and eliminating a number of positions will accelerate Transamerica’s efforts in support of expense reductions and operational efficiencies, he said. Improving efficiencies helps Transamerica ensure it can invest in the technology and capabilities necessary to constantly adapt as customer needs change, Tucker said.

“These are not easy decisions, and we are keenly aware of the impact these actions will have on our employees and their families,” he said. “For this reason, we will be offering separation benefits for eligible employees, including outplacement services.

Thursday’s announcements are not related to Transamerica’s financial strength, he said.

“In April, (U.S.-based insurance rating agency) A.M. Best affirmed the financial strength rating of A+ (superior) of the U.S. life/health subsidiaries of Aegon N.V.,” Tucker said. “As Transamerica continues to adapt to external challenges, as well as changes in customer needs and demands, we remain steadfastly committed to our core purpose of helping our customers achieve a lifetime of financial security.”

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