Charles Esther
Artificial intelligence may not take your current job.
But it could make finding your next one a lot more difficult.
JPMorgan Chase is the latest major company to acknowledge how AI is reshaping its workforce needs.
During its recent investor day, two top executives revealed that hiring will slow down and headcount will be reduced.
This shift is driven, in part, by the bank’s increasing reliance on AI technologies.
Over the past five years, JPMorgan expanded its workforce by 23%.
Now, it’s pivoting toward efficiency.
Chief Financial Officer Jeremy Barnum told investors that the bank is “asking people to resist headcount growth where possible and increase their focus on efficiency.”
Marianne Lake, CEO of Consumer and Community Banking, noted that the operations workforce could shrink by up to 10% due to AI benefits.
Strategic Hiring Still on the Table
Despite the slowdown, the bank won’t halt hiring altogether.
Barnum emphasized that strategic hires will continue in what he called “high-certainty areas” such as bankers, financial advisors, and branch staff.
In short, if your role generates revenue for JPMorgan, your job remains secure — at least for now.
If not, your prospects could be uncertain.
JPMorgan Not Alone in the Shift
JPMorgan’s cautious approach to hiring is not unique.
Amazon has also embraced automation as a tool to flatten its hiring curve.
An internal document obtained by Business Insider reveals how the tech giant sees robots as key to controlling workforce growth.
Jamie Dimon’s Warnings on the Economy
JPMorgan CEO Jamie Dimon also addressed broader economic concerns during the investor day.
He warned of the risk of stagflation — a troubling combination of high inflation and sluggish growth.
Dimon said the bank missed some business opportunities due to former President Trump’s trade policies.
Still, he credited current government officials for trying to fix systemic issues.
He also reiterated his stance on loosening regulations for public companies — a predictable stance given his past views.
Dimon Softens on Bitcoin
Interestingly, Dimon offered a nuanced take on bitcoin.
Though he has long criticized the cryptocurrency, JPMorgan now allows clients to invest in it.
However, the bank won’t hold the digital asset on their behalf.
“I don’t think you should smoke.
But I defend your right to smoke,” Dimon quipped, likening his stance on bitcoin to personal freedoms.
Wall Street Reacts to US Credit Downgrade
Moody’s recent downgrade of the US credit rating has spurred debate.
While the news rattled markets, top Wall Street firms aren’t expecting extreme volatility.
Many analysts believe the downgrade is more symbolic than financially damaging.
They explained that the fundamentals of the US economy remain relatively stable.
Tesla’s Stock Rally Sparks Skepticism
Investor Ross Gerber, once bullish on Tesla, remains skeptical about its recent stock surge.
Tesla shares are up 52% from recent lows.
Still, Gerber has sold off more of his holdings.
He cited ongoing concerns about production, competition, and leadership.
OpenAI Faces Nonprofit Challenges
OpenAI’s unique nonprofit structure has cost it significant investment opportunities.
In a letter to California’s attorney general, the company revealed that many investors walked away due to a lack of traditional equity offerings.
Now, OpenAI plans to convert into a Public Benefit Corporation to attract new funding.
Tech and Consulting Face an AI Collision Course
AI’s impact could extend beyond banking and tech.
It may also disrupt the consulting industry.
The Big Four — Deloitte, PwC, EY, and KPMG — could face major challenges.
As AI changes business models and pricing structures, these dominant firms may struggle to maintain their grip on the industry.
CBS News Faces Leadership Shake-up
In business news, CBS News CEO Wendy McMahon has stepped down.
She cited disagreements with Paramount’s future direction in a memo to staff.
Her departure comes just a month after “60 Minutes” executive producer Bill Owens left the company.
Senator Bernie Sanders weighed in, urging Paramount’s leadership not to cave to political pressures.
Court Battle Between Pharma Heiress and Lawyer
Claudia Engelhorn, heir to a pharmaceutical fortune, is taking her former lawyer Erik Bolog to court.
She claims he manipulated her into giving him a $10 million “gift.”
Bolog says she’s retaliating because he called out a racist comment she allegedly made.
The case is currently ongoing.
Walmart Sets Tariff Price Hike Trend
Retail analysts say Walmart’s recent move to raise prices in response to Trump-era tariffs may pave the way for others to follow.
But with backlash already brewing, companies will need to tread carefully in explaining any future price hikes.
