About 460 employees who print and mail documents for Fidelity Investments in Kentucky and Texas will be laid off, a spokesman said.
Citing increasing use of the Internet to send information to investors, Fidelity spokesman Perry Chlan said around 400 employees at the company’s campus in Covington, Ky., and another 60 at its facility in Grapevine, Texas, were notified Tuesday that they would lose their jobs.
“It wasn’t really a cost issue,” Chlan said. “It’s happening as a result of a significant decline in the volume of the printing and mailing of this material over the past few years.”
Fidelity said it would be outsourcing its printing of forms like account statements, trade confirmations, and prospectuses to Broadridge Financial Solutions . The layoffs are scheduled to take place over the next 12 to 18 months.
The Boston-based mutual fund giant employs more than 5,400 employees in Massachusetts. In 2012 more than 1,000 employees were laid off in Massachusetts when the company closed its Marlborough site and moved some of those jobs to Rhode Island and New Hampshire. The company was also hit hard by the recession. In 2008, it laid off 3,000 people from its global workforce of about 46,000, a spokesman said at the time.
Fidelity’s operating profit, which does not include the cost of interest and taxes, fluctuated during the recession but bottomed out at $2.2 billion in 2012 as competitors gained ground. In 2013, Fidelity’s profit rose 13 percent. The company says it has about 40,000 employees worldwide.Jack Newsham can be reached at email@example.com. Follow him on Twitter @TheNewsHam.