American banking giant JPMorgan Chase has kicked off one of its planned job cuts for 2025, laying off about 1,000 employees in February, Reuters reported. The company began notifying affected employees last week.
A spokesperson for the bank told the news agency that the layoffs are part of its “regular management of the business and impact a very small number of employees.”
According to a Barron’s report, the Wall Street major plans further layoffs in mid-March, May, June, August, and September.
At the end of December 2024, JPMorgan Chase had a total workforce of 317,233, having increased its employee count since 2021. A major hiring boost came in 2023 when the bank absorbed the failing First Republic Bank, adding 16,200 employees that year. However, it has since shed a few hundred of those positions.
Layoffs Despite Record Profit Surge
The job cuts come despite JPMorgan posting record annual profits in 2024. The bank’s profit rose 18% to $58.5 billion, with fourth-quarter earnings contributing $14 billion.
The surge in earnings was driven by strong deal-making and a rebounding stock market. JPMorgan’s stock market operations saw a 49% jump in investment-banking fees and 21% higher trading revenue in the fourth quarter.
"Businesses are more optimistic about the economy, and they are encouraged by expectations for a more pro-growth agenda and improved collaboration between government and business," JPMorgan CEO Jamie Dimon said during an earnings call on January 15.
CEO Dimon Slams Work-From-Home Demands
Meanwhile, in a recent town hall meeting, CEO Dimon slammed employees demanding work-from-home arrangements. According to a separate Reuters report, on February 12, JPMorgan Chase CEO Dimon criticised a group of employees who had signed a petition demanding that the company reconsider rolling back hybrid working arrangements.
Dimon reportedly said that some employees did not pay attention during Zoom meetings, which reduced their efficiency and creativity. He also stated that the bank had seen its efficiency drop due to lengthy approval processes.
