UPDATE: OCTOBER 14, 2018 — ANOTHER 400 EMPLOYEES GONE
The bank has announced that it will be reducing its headcount in its consumer mortgage operations. Layoffs in Phoenix, Arizona; Jacksonville, Florida; and Columbus, Ohio will total approximately 400 employees. The decision is based on reduced market activity and mortgage servicing operations. This is an area that has been highly affected by technology as consumers choose self-service options rather than requiring human assistance.
JPMorgan Chase & Company, the largest bank and financial services company in the United States announced that they were responding to market shifts and were laying off 100 employees in the asset management division.
This type of staff recalibration is not usual and usually follows cost-cutting initiatives designed to improve performance and profits.
Of course, there was the usual corporate speak from a company spokesperson who noted, “We routinely review our coverage model to ensure appropriate staffing levels across a variety of functions. Any reductions will be relatively small and will not impact our continued investment in client coverage and our business.”
One cannot help but wonder about the increasing impact of technology, especially applying artificial intelligence to portfolio management and maintenance. The ongoing review has already cost a number of employees their positions and it is likely to continue for the foreseeable future.
Are you wondering, Am I Next?