J P Morgan trading platform consolidation threatens 3,000 jobs

J P Morgan Chase has outlined plans to ditch several trading platforms worldwide in the next three years, threatening up to 3,000 jobs.

J P Morgan Chase has outlined plans to ditch several trading platforms worldwide in the next three years, threatening up to 3,000 jobs.

According to the Financial Times, the move will save the company millions of pounds, but threaten thousands of employees with redundancy or redeployment.

The financial services firm has already halved the number of its trading systems from 10 to five in the past two years.

The planned reduction of the bank's trading platforms to two remaining systems by 2014 will save $300m (£187m) a year, Jes Staley, head of J P Morgan's investment banking unit told investors.

J P Morgan previously employed 3,000 people to manually input trades into the system, said the FT. This number has already been cut to 1,700. The goal is to bring it down to zero, said Staley.

The total savings for the company could reach $1bn (£624m). J P Morgan reportedly spends around $8.5bn (£5.3bn) a year on its IT.

The finance firm spent £15m in 2008 implementing a central platform to support its global treasury management and liquidity services.

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