Capital One Financial Corp. is cutting 170 information technology jobs at its Richmond, Va., data center and outsourcing the work to International Business Machines Corp.
Julie Rakes, a Capital One spokeswoman, said IBM would hire 50 people in the Richmond area to perform the work for Capital One. The rest of the jobs will be outsourced elsewhere.
Ms. Rakes wrote in an e-mail Thursday that the move is "part of a corporate initiative" announced in April of last year "to remain economically competitive and continue to innovate."
The Richmond Times-Dispatch reported the job cuts Wednesday.
Ms. Rakes said the jobs are in data-center planning for disaster recovery, capacity planning, general data-center operations, and technical support. The cuts have already begun and will continue through mid-August.
In November, Capital One began eliminating 750 production services jobs in Washington state and Virginia and farming out the work to Denver's First Data Corp. Those cuts will be completed this summer.
