JPMorgan is preparing have a lot of job cuts, and they are all coming sometime in 2014. Fox 19 reported on Tuesday, Feb. 25, 2014, that JPMorgan Chase will indeed cut some 8,000 jobs in both the consumer and mortgage banking markets sometime before the year is over.
This number from JPMorgan is about 5,500 more job cuts than were originally predicted just last year. The blame for the job cuts falls on a drop in demand for refinancing. In 2013, 16,500 jobs were already cut from the same two areas.
The company is looking to control costs at its branches.
"We're seeing much lower volumes as we're going through the first quarter of 2014," said Gordon Smith, who runs the company's consumer and community banking business.
Close to half of the JPMorgan job cuts have already been announced, but the additional cuts are coming. They are going to happen as the company attempts to reduce $2.4 billion in consumer banking expenses by time the end of 2016 rolls around.
JPMorgan's 8,000 job cuts are equal to about three percent of the total workforce for the company which is around 251,000. With the job cuts, JPMorgan also announced that 3,000 jobs in other areas will actually be added sometime in 2014.
Along with the jobs cuts, JPMorgan Chase is looking to reduce the size of its branches as customers use online banking and ATMs more and more.