JPMorgan cutting 8,000 jobs in mortgage, retail banking businesses
JPMorgan announced today that it plans to eliminate 8,000 jobs due to its shrinking mortgage business.
JPMorgan Chase & Co. announced plans Tuesday to cut 8,000 positions, more than previously forecast, as fewer Americans refinance their mortgages because of rising interest rates.
The cuts will hit its mortgage and retail banking businesses, according to a Tuesday presentation, reports said.
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JPMorgan, the country’s largest bank, also increased its target for annual net income to $27 billion. That would be a significant improvement from last year’s $18-billion net income, which took a hit because of legal costs associated with regulatory enforcement actions.
The bank said it expected to reduce its head count to 260,000 in 2014, down from 265,000 in 2013. This will be the third straight year the bank has trimmed its work force. Although it will be making cuts in its mortgage and retail banking businesses, it plans to hire in other areas, such as compliance.
Shares for the bank were down 30 cents, or 0.52%, to $57.73 Tuesday.
