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JP Morgan cuts jobs
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August 27, 2001: 11:54 a.m. ET
Wall Street bank to begin third round of cuts as part of long-range plan
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NEW YORK (CNNfn) - JP Morgan Chase & Co. is set to start a third round of cost cuts that will include a third round of job reductions, press reports said Monday.
JP Morgan, which merged with Chase Manhattan last year, plans to chop costs by 15 percent to 20 percent, the Financial Times Web site said.
Geoff Boisi, CEO of JP Morgan's investment banking division, sent a six-minute voicemail to all staff alerting them that costs must be reduced because of declining profitability, the report said.
New York-based JP Morgan (JPM: up $0.32 to $41.25, Research, Estimates) did not specify the number of positions to be cut, but the reductions already are starting in London, FT.com said.
Last December, the company said it would cut 5,000 positions as a result of the merger. In July, JP Morgan CFO Dina Dublon said staff reductions would exceed that total.
However, Dublon said in July that the total cuts would not double or triple and the bank's position has not changed, according to JP Morgan spokeswoman Charlotte Gilbert-Biro.
"As we previously stated, we are committed to managing overall expenses including head count; there's not new news here. These are not new job cuts," Gilbert-Biro said.
JP Morgan could not be reached for further comment.
Press reports last week had the nation's No. 2 bank holding company reducing jobs by as many as 3,000, bringing total reductions to 8 percent.
New York-based JP Morgan has reduced it headcount by 7,000 in the first two rounds from a combined 102,000. 
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