JPMorgan Chase (JPM) appears to be further cracking down on a startling workplace trend. The banking industry has recently come under following the death of a 35-year-old Bank of America employee who died in May after suffering a heart attack while working 100-hour workweeks.
After a report from the Wall Street Journal last week revealed that Chase will be capping the work hours of its junior investment bankers at 80 hours a week, with the only exception being if the bankers are working on a live deal, Chase will now also implement additional measures.
Related: JPMorgan Chase, Bank of America crack down on toxic workplace trend
According to a memo sent to Chase employees obtained by the Guardian, Chase has created a new role at the company, “global investment banking associate and analyst leader.” One of the role’s duties includes ensuring the “well-being and success” of junior bankers.
The memo revealed that Ryland McClendon, who is currently a managing director at Chase, will be appointed to the new role.
“In this role, Ryland will be responsible for leading our associates and analysts globally,” read the memo. “She will help to support their wellbeing and success, as well as equip and enable them to deliver for our business, clients and each other.”
Jamie Dimon, CEO of JPMorgan Chase & Co., during a Bloomberg Television interview on the sidelines of the JPMorgan Tech Stars Leadership Forum in London on Oct. 2, 2023.
She will also be responsible for analyzing how the bank’s new 80-hour workweek cap will be enforced.
In addition, Chase will hire more junior bankers to lessen workloads for employees, according to the Guardian.
Chase did not immediately respond to TheStreet’s request for comment.
JPMorgan Chase CEO responds to recent death of Bank of America employee
The changes from Chase comes after its CEO Jamie Dimon reportedly told investors in May that the death of Leo Lukenas III, the Bank of America employee who died of a blood clot in his heart after working 100-hour workweeks, prompted him to reflect on the situation.
“The second that unfortunate death happened, a bunch of us were right in Robin’s office,” said Dimon, referring to Robin Leopold, Chase’s executive vice president.
Dimon also said that Lukenas’ death highlighted the importance of pinpointing “what we do know, what can we learn from it.”
More Labor:
Sony’s Bungie criticized for layoffs after CEO spends millions Dell makes a harsh move, solidifying fears about the future of workEx-Google CEO responds to outrage over remote work comments
Investment banking analysts in the banking industry often work grueling hours. A 2023 survey from Wall Street Oasis found that investment banking analysts work an average of over 70 hours a week and go to sleep past midnight.
“It is truly baffling how often I end up in the office at 1 am – 2 am just because my Director, VP or Associate is here,” said an industrial analyst at Stifel in the survey. “They each leave when they’re done with their work, but it’s highly frowned upon for Analysts to leave before all of them have left.”
The survey also found that 71% of banking professionals at Chase who were polled said that work hours have negatively impacted their relationships. Also, 81% said they are given unrealistic deadlines at the company.
Related: Veteran fund manager sees world of pain coming for stocks
