BNR – JPMorgan Chase & Co. will close 21 First Republic Bank locations before the end of 2023.
According to a JPMorgan representative, the decision comes about as the bank incorporates the bankrupt institution into its operations. The branches make up almost 25 per cent of First Republic’s 84 branches spread across eight states.
In May, Regulators acquired the lender and sold it to JPMorgan. It was notable for being the largest to fail since the financial crisis in 2008.
“These locations have relatively low transaction volumes,” said the spokesperson. “[They] are generally within a short drive from another First Republic office.”
Employees’ Transition to Other JPMorgan Positions
Approximately 100 employees harmed by the locations’ closures will be given six-month transition tasks. Following that, they will be able to apply for additional positions at JPMorgan, which presently has 13,000 vacant positions.
According to an individual familiar with the matter, over 1,000 employees were warned last week that they would be laid off. Other employees, on the other hand, have been granted temporary positions for periods that range from three months to a year.
JPMorgan is the biggest lender in the United States, with over 296,000 personnel and 4,800 offices. Executives told investors last month that it intends to invest in new sites while also growing its digital capabilities.
