“NEW YORK (Reuters) – JPMorgan Chase & Co said on Tuesday that it plans to cut 17,000 jobs by the end of 2014, representing about 6.6 percent of the company’s overall workforce, as the bank sheds staff that helped it deal with bad home loans.
The bank is optimistic that it can generate record income this year and is planning to add 4,000employees in commercial and investment banking and credit cards to help it win business, bank executives said at an investor conference.
That hiring will be more than offset by job cuts in areas like mortgage servicing and retail banking, where the bank is positioning for a recovering housing market and new forms of branch banking. The net impact of the additions and cuts will be 17,000 fewer employees on the bank’s payrolls.
The job cuts reflect the pressure that banks are under, even as the U.S. housing market and overall economy show signs of recovery. Many banks are looking to automate more of their businesses to make their staff more productive and improve profits.
For example, at JPMorgan’s branches, where it plans to cut about 6,000 tellers and other employees, the bank hopes customers will use automated teller machines for every day transactions and that remaining staff can focus on higher-margin activities like selling wealth management services….”
If you enjoy the content at iBankCoin, please follow us on Twitter
