JPMorgan Chase CEO
Jamie Dimon received a total compensation of $39 million in 2024, the most he's
ever made, the bank reported
on Thursday. However, some of his workers are unhappy with
their recent bonuses.
According to Fortune, JPMorgan managers began telling the bank's more
than 300,000
global employees how much they
earned in 2024 bonuses on Tuesday and Wednesday of this week. The bank is expected
to pay U.S. employees the extra money next week on January 28. Annual bonuses
on Wall Street have a long history, dating back
to the 20th century when J.P. Morgan
himself pioneered the practice by giving his employees a one-time cash gift
equal to a year's salary. According to figures from the New York State
Comptroller, seen by the
NYPost, the average Wall
Street bonus in 2023 was $176,500.
The five U.S.-based JPMorgan employees who spoke
to Fortune indicated that they were disappointed with
their bonuses, though some tried to look on the positive side and said they
were grateful that their numbers weren't lower. These employees, who worked in divisions other
than investment banking (like commercial banking and asset and wealth
management), received raises ranging from 2% to 2.7%—far less than the
15% raise in bonuses reportedly
received by JPMorgan investment bankers.
JPMorgan reported its fourth quarter 2024 financial results
earlier this month and stated that net income for the quarter was $14
billion, up 50% from the same time last year, while net revenue was $43.7
billion, up 10%.
The bank posted a record-high full-year 2024 net income of $58.5
billion.
All of the employees who spoke with Fortune were aware of the bank's recent record
performance, with one worker stating that they felt "disrespected and
undervalued."
One JPMorgan employee told Fortune that
they found out on Wednesday 22 Jan ‘25 that their bonus only increased by
$3,000 from last year, for a 2% raise. They
took the rest of the day off from work—so they wouldn't say anything negative
about it. A different worker said they received outstanding reviews last
year yet earned a similarly low raise.
"It just feels like a slap
in the face," they said. Other employees complained of receiving
smaller bonuses than last year.
Meanwhile, JPMorgan informed
its staff earlier this month
that it is implementing a strict return-to-office (RTO) mandate in March where
almost all workers will be required to work from the office five days per week,
shifting schedules for the 40% of workers who were on a hybrid schedule.
The announcement sparked internal pushback on an internal company
website. More than 300 JPMorgan employees voiced concerns about how the RTO
mandate would affect their commute, work-life balance, and childcare costs,
prompting JPMorgan to shut
down comments about the topic.
The RTO mandate, coupled with the recently low
bonuses, has led some employees to speculate that JPMorgan wants to reduce the
number of people in its workforce, per Fortune.