JPMorgan Chase cuts about 1,000 First Republic employees after a hasty bailout of the Californian bank earlier this month, the Ft reported. The job losses, which will impact all of First Republic’s businesses, amount to about 15% of its approximately 7,000 employees. JPMorgan notified affected First Republic employees on Thursday that they would not receive an offer to move to their parent company. The cuts are yet another blow to First Republic employees who have already had a tough two months.
Following the collapse of Silicon Valley Bank and Signature Bank in March, First Republic clients withdrew tens of billions of dollars in deposits. First Republic was eventually shut down when US regulators orchestrated its weekend sale to JPMorgan. The latter said it had fulfilled its commitment to First Republic employees to provide clarity on their employment status within 30 days of the operation, which closed on May 1. “We recognize that employees have been subjected to stress and uncertainty since March and we hope today brings clarity,” the bank said. “The vast majority of First Republic employees will be offered employment at JPMorgan Chase, in some cases after a probationary phase, in others immediately full-time.” To the famous thousand unfortunately not.
