The six largest banks in the United States collectively reduced their workforce last year, marking the largest cut in nearly a decade. This action was taken by executives to manage costs, which represent a significant expense line item.
At the close of December, JPMorgan Chase & Co., Bank of America Corp., Citigroup Inc., Wells Fargo & Co., Goldman Sachs Group Inc., and Morgan Stanley reported a combined employee count of 1.09 million. This figure indicates a reduction of approximately 10,600 employees from the previous year, placing total employment at its lowest level since 2021. The last time this group experienced such a substantial reduction in workforce was in 2016, when headcount decreased by roughly 22,000 from the prior year.