Number of employees at Gilbert’s businesses decreased again last year
Dan Gilbert’s business empire in Detroit experienced another decrease in employee headcount last year, marking a continued trend of staff reduction. The company, known for its transformative efforts in revitalizing Detroit through investments, development projects, and community initiatives, acknowledges that the decline in staff numbers is a result of increased use of artificial intelligence (AI) technology and automation.
Despite the job cuts, Rocket Companies, the umbrella corporation for Gilbert’s various businesses, managed to return to profitability in 2024 after recording its first full-year loss in 2023. One sector that saw a significant reduction in staff was Gilbert’s mortgage company, shedding several hundred jobs in the past year. This downsizing occurred even as the mortgage industry began to show signs of recovery from the economic downturn caused by the pandemic.
In a recent report, Detroit-based Rocket Companies disclosed that its total workforce in the United States and Canada decreased by approximately 500 employees, bringing the number of team members to 14,200 by the end of 2024. This figure represents a substantial decline from its peak in 2021, when the company employed around 26,000 individuals amid a mortgage refinancing boom, according to filings with the Securities and Exchange Commission.
Rocket Mortgage, the premier entity within Rocket Companies, serves as the key player in the organization’s portfolio of businesses. The latest headcount statistics were released as part of Rocket Company’s annual SEC report, shedding light on the current state of the company’s workforce. As the largest corporate entity within Gilbert’s conglomerate, Rocket Companies has historically been a significant employer in the city of Detroit, ranking among the top two employers in recent years.
While the SEC report does not provide a detailed breakdown of Rocket’s employee locations, it is commonly known that a majority of these workers are based in Detroit. The corporate headquarters of Rocket Companies is situated in downtown Detroit’s One Campus Martius building, previously recognized as the Compuware Building.
Rocket Companies, a major player in the mortgage lending industry, managed to turn a profit in 2024, reporting a net income of $636 million on revenues totaling $5.1 billion. During an earnings call with Wall Street analysts, Rocket’s Chief Financial Officer Brian Brown acknowledged the declining employee numbers, attributing the reduction to the company’s focus on leveraging the efficiency of AI technology and automation to streamline operations and increase profitability.