JPMorgan Chase’s corporate and investment bank cut employee compensation costs 7% to $3.38bn in the first quarter as the division generated 9% more revenue.
Bloomberg reports that pay costs for the quarter were 34% of revenue at the unit, excluding accounting adjustments, down from 35% a year earlier, according to figures posted today on the New York-based firm’s website.
The expense was enough to give each of the division’s 51,634 employees an average of $65,383 for the three months.
'We really believe in pay for performance', Mike Cavanagh, co-head of JPMorgan’s corporate and investment bank, told shareholders in February. The bank’s scale can help it keep that ratio low while offering top employees pay that’s at least as good as 'anybody else in our industry', he said.
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