Daily Management Review

JPMorgan chief forecasts post-pandemic boom in US economy


The US may expect an economic boom after the end of the pandemic, says Jamie Dimon, head of JPMorgan Chase. He said this in his annual letter to shareholders published on the company's website.

"I have little doubt that with excess savings, funds from the new stimulus, huge deficit spending, further quantitative easing, a potential new infrastructure bill, successful vaccinations and end-of-pandemic euphoria, the US economy is likely to thrive," Dimon said in his letter to shareholders. This boom could continue into 2023, he said.

"The long-term effect of this boom can be fully appreciated when we see the quality, efficiency and sustainability of infrastructure and other government investments. I hope that all this money is spent extremely clearly. Spent wisely, it will create more economic opportunities for all," Dimon added.

In his letter, the head of JPMorgan Chase also touched on remote working. He expects no more than 10% of JPMorgan's workforce to remain fully telecommuting and some staff to work in a hybrid mode. He explained that telecommuting doesn't allow for an effective learning process for a new employee, it eliminates live communication because "you don't meet your colleagues at the coffee machine anymore," and over time it can undermine the corporate culture. In addition, Dimon added that videoconferencing meetings slow down the decision-making process.

Dimon wrote that when this becomes possible, almost all the bank's branch staff will return to the office, as well as employees involved in cash operations, vault operations, the sales sector, traders and many others. Dimon also said that the new working arrangement would enable the company to reduce its need for real estate.

source: jpmorgan.com