Rocket Companies, parent of Rocket Central and Rocket Mortgage, saw its headcount decrease by 3,800 employees in 2023, according to a recent filing with the Securities and Exchange Commission.
"In 2023, the housing and mortgage industry continued to face challenging conditions," a Rocket Companies spokesperson said. "In order to right-size our business to fit the current market, we offered a voluntary career transition program to select groups within the organization, providing significant cash incentives, extended healthcare and other support to those who chose to participate.”
Rocket Companies' voluntary buyouts targeted Rocket Central and Rocket Mortgage employees with the last buyout being offered in July 2023. Two previous buyouts were offered in April and August of 2022.
In 2023, Rocket Companies reported a full year of losses of $390 million.
It said it reduced its cost structure by 20% in 2023 and nearly 25% in 2022. At the same time its purchase market share grew by 14%, and refinance market share by 10% from 2022 to 2023.
Rocket Companies CEO Varun Krishna acknowledged the challenges faced in mortgage originations throughout 2023, emphasizing the company's achievements in market share growth. During an earnings call last month, he expressed optimism for the upcoming year, highlighting the company's commitment to advancing its goal of "AI-fueled homeownership."
“Now previously, these bankers juggled note taking, filling out applications, remembering regulatory requirements all the while talking to our clients,” he said. “What the AI assistant does is it seamlessly and accurately automatically transcribes, summarizes and populates hundreds of crucial application fields, hands-free in real time. So our bankers are more productive than they've ever been. And they can now focus on what they do best, with AI handling the rest.”
