Hartford Financial to slash 500 jobs

NEW YORK - Hartford Financial Services Group Inc. will cut 500 jobs, or almost 2 percent of the staff, after posting a $2.63 billion third-quarter loss.

The dismissals are part of a plan to save $250 million annually by the end of next year, company spokeswoman Debora Raymond said yesterday.

The Hartford joins insurers including XL Capital Ltd. and Zurich Financial Services AG in cutting staff. Zurich Financial, Switzerland's biggest insurer, eliminated 400 US jobs in April as prices for commercial insurance fell, and XL said in July that it would take a charge of as much as $60 million for slicing and outsourcing jobs.

The Hartford's credit grade was cut by Fitch Ratings in October as investment declines eroded capital. Raymond said she didn't know if it would take any charges related to the job cuts. The company had about 31,000 employees as of Dec. 31.