JPMorgan Chase & Co. (NYSE:JPM) Chief executive officer Jamie Dimon has unveiled a five year plan to enhance the worker training globally. The program would receive an investment of $250 million.
Program to help community
Mr. Dimon announced his plan following the news that JPMorgan Chase & Co. (NYSE:JPM) is gearing up to shell out $2 billion in settlement regarding a federal investigation related to Bernard L. Madoff’s Ponzi scheme
The funds would be utilised to help the local governments impart necessary skills to the workers, which is in demand from the local businesses for growth in the particular region. Also, the fund would be utilised helping community colleges and other such institutions to enhance their program for training potential workers, in those areas.
On being asked that even though the bank does not suffer from such skill gaps then why it is making such an effort, Jamie Dimon told that they care for other companies, cities, schools, states and hospitals and worry about the development of the community rather than limiting to their own bank.
Even the best needs training
He added that JPMorgan Chase & Co. (NYSE:JPM) has spent nearly $300 million per year on training, and that is completely understood as there are 40,000 employees hired every year. These workers are hired at all levels. He said that the employees are given an intensive training of 12 weeks in modelling, mathematics and statistics even when they are from Harvard Business School.
In his interview, Dimon said that companies often show concern on the skill gap that is prevalent, and workers with definite skills are scarce compared to millions of open jobs (at a wage level that businesses are willing to pay). The complaint is heard more by the manufacturing companies and technology firms compared to the banks.
Also, the declining and sluggish economic growth and growing employment might be the after-effect of this skill gap according to Dimon. Banks, according to Dimon, have classic role to fill these structural gap in the economy.
“There’s nothing more important than that,” he said. “And obviously the biggest [benefit], if it works, is jobs. So this is a very specific effort to say, what could we do even more to help jobs?”