JPMorgan Chase hits pause on hiring, bets big on AI efficiency

After five years of frenetic headcount growth, JPMorgan Chase is hitting the brakes on its hiring spree due to advances in artificial intelligence, Business Insider reported. As per the media report, CFO Jeremy Barnum at its annual investor day in New York, confirmed that while the bank’s $95 billion annual budget remains intact, a shrinking slice will go toward new hires.

“At the margin, we’re asking people to resist head count growth where possible and increase their focus on efficiency,” Barnum said, pointing to AI tools that can automate routine tasks and nip operational bottlenecks.

Barnum emphasized that JPMorgan will still recruit in high-certainty areas where bringing on talent directly fuels revenue, such as think relationship bankers, financial advisors and branch staff. But back-office functions like fraud detection, payment processing, statements and account services are prime targets for automation, reducing the need for human hands.

Marianne Lake, CEO of Consumer & Community Banking, further forecasting a 10% workforce reduction in operations. She called that a conservative estimate, betting AI will deliver even deeper cuts. “I would take the over on this projection and bet that we will deliver more.”

These remarks echo CEO Jamie Dimon’s earlier mantra “attrition is your friend” and underscore a cultural shift - employees are now being asked not just to accept but to champion “job-stealing” AI tools. Machine-learning models handle fraud flags, robo-advisors assist clients and natural-language bots triage routine inquiries, freeing human staff for complex, high-value work.