4,000 Job Cuts Expected at JPMorgan Chase
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JPMorgan Chase & Co., the third-largest American bank, may eliminate 4,000 of its own staff as it brings on employees from the purchase of Bear Stearns Cos. and financial markets deteriorate, a person familiar with the matter said.
Of the cuts, about 2,000 will be JPMorgan employees replaced by those who held the same jobs at Bear Stearns, the person said, declining to be identified because all employment decisions aren’t complete. As many as 2,000 other workers at the New York-based bank could be terminated as investment banking slows.
“Some of that will come because investment banking fees are down,” the chief market strategist at Lake Oswego, Ore.-based D.A. Davidson & Co., which manages about $23 billion including JPMorgan stock, Frederic Dickson, said. “It’s in response to economic circumstances in a slowing environment.”
JPMorgan’s chief executive officer, Jamie Dimon, said at a May 12 conference that JPMorgan found spots for 6,000 of Bear Stearns’s 14,000 employees.
