Home
News
- 1 The layoff round might eliminate 500 employees from JPMorgan.
- 2 In comparison to the existing workforce, the layoff is hardly going to affect.
- 3 Industries, especially in the tech sector, still lack job stability.
The US banking giant, JPMorgan Chase, reportedly is looking towards laying off 500 employees from its workforce. Reducing the headcounts was the routine instance during the past several months across industries in different sectors. Though circumstances became better, the reason behind the largest lender in the United States showing employees the way out is not known yet.
Reuters reported, citing the source who wanted to identity unrevealed, the layoffs within the institution would be across sectors. It would include sectors like consumer commercial bank, asset and wealth management, technology and operations. In contrast to the layoffs, there are about 13,000 job openings currently at the bank.
JPMorgan Chase earlier reported to layoff employees from its recently acquired First Republic Bank. The number of employees were said to be around 1000, Reuters cited the person familiar with the matter.
Currently the banking giant employs approx 296,877 people, according to the filing. The overall headcount in the workforce is up by 8% YoY. the said layoffs would account for approx 0.16%, considering the workforce at present.
First Republic—First in the Queue.
First Republic Bank failed in March amid the chaos in the broader banking sector. Its failure was the biggest since 2008. The United States financial regulators seized the bank, and later, it was sold to JPMorgan Chase in May 2023.
The source stated to the news outlet that out of First Republic’s 7,000 employees across transitional or full-time roles, JPMorgan offered employment to 85% of them, while the positions held for temporary basis, depending upon the job sector, were said to be reduced from three months to a year.
In its mail, the bank stated that it would maintain transparency with the employees and keep the promise of employment status update in 30 days. Those who would not get an offer for roles were said to be paid for 60 days, and offered benefits and packages, including lump sum payments and other benefits like continuity, etc.
The San-Francisco based commercial bank failed along with the other prominent players in the sector—Silvergate, Signature and Silicon Valley Bank. Depositors at the bank went on to pull out the funds and it lost about 100 billion USD in a single quarter. The instance ultimately led the bank to collapse despite several major banks coming forwards and pouring down a 30 billion USD deposit lifeline.
According to the Layoffs.fyi data, the layoffs have been significant in the past year, and in the ongoing one. The data suggests the layoffs in tech companies have accelerated this year in comparison to the previous. In 2022, there were over 164.7K employees laid off across 1,057 tech companies. In contrast, 2023 has already seen over 199.8K employees reduced from their workforce of across 715 tech companies.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while pursuing his post-graduation major in blockchain development. He is a keen observer of details and shares his passion for writing, along with coding. His backend knowledge about blockchain helps him give a unique perspective to his writing skills, and a reliable craft at explaining the concepts such as blockchain programming, languages and token minting. He also frequently shares technical details and performance indicators of ICOs and IDOs.
