Aftermath of First Republic Bank Takeover: JPMorgan Chase Turns Down 1K Employees

JPMorgan Chase & Co JPM will not give jobs to some First Republic Bank FRCB employees after the takeover.
JMP notified about 1,000 First Republic Bank employees that they aren’t being given jobs even temporarily, reported Bloomberg.
According to Bloomberg, JP Morgan offered full-time or transitional roles to about 85% of the nearly 7,000 workers still working at First Republic when it failed, while the others were told they would not get offers.
Related: JPMorgan Chase Confident In First Republic Takeover, Raises 2023 NII Guidance by $3B
The source stated that the temporary jobs would be for three, six, nine, or 12 months, depending on the position.
First Republic Bank, now under the control of JPMorgan following a seizure by regulators, was known for its ultra-generous employee incentives.
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Former First Republic employees who weren’t offered jobs at JPMorgan “will receive pay and benefits covering 60 days and will be offered a package that includes an additional lump-sum payment and continuing benefits coverage,” a JMP spokesperson stated.
Price Action: JPM shares are trading higher by 0.51% at $136.36 on the last check Friday.