AI Reshapes Banking as JPMorgan Chase and Goldman Sachs Cut Back on Hiring
Wall Street's largest banks are leveraging artificial intelligence to streamline operations, resulting in restrained hiring despite robust earnings. JPMorgan Chase posted a 12% profit increase to $14.4 billion in Q3, while Goldman Sachs reported a 37% surge to $4.1 billion. Yet workforce expansion remains minimal—JPMorgan's headcount grew just 1% to 318,153 employees.
"We've instructed managers to resist reflexive hiring," said JPMorgan CFO Jeremy Barnum, framing the stagnation as strategic rather than reactive. Goldman Sachs CEO David Solomon echoed this, announcing "constrained headcount growth" alongside limited layoffs as part of a multi-year AI overhaul. The trend mirrors tech giants like Amazon and Microsoft, where AI-driven efficiencies are reshaping labor dynamics.
