NEW YORK (Reuters) - JPMorgan Chase & Co <JPM.N> has canceled half the job and internship offers extended by Bear Stearns Cos <BSC.N> to college students and graduates before its collapse in March, in a prelude to more job cuts head as the two banks prepare to merge.
By Joseph A. Giannone
NEW YORK (Reuters) - JPMorgan Chase & Co <JPM.N> has canceled half the job and internship offers extended by Bear Stearns Cos <BSC.N> to college students and graduates before its collapse in March, in a prelude to more job cuts head as the two banks prepare to merge.
JPMorgan, which agreed last month to acquire troubled Bear Stearns for $10 a share, is taking a close look at Bear's businesses as it prepares to integrate the two investment banks. JPMorgan in the next two weeks is expected to slash thousands of Bear Stearns' 14,000 jobs.
The stunning downfall of Bear was bad news for the roughly 250 students and grads who were offered full-time jobs and summer internships at the investment bank.
!ADVERTISEMENT!A JPMorgan spokesman confirmed the reduction in student and graduate offers, though he declined to disclose specific figures. JPMorgan also said the bank was honoring all of its own campus commitments.
The commitments by Bear Stearns that JPMorgan will keep may foreshadow bigger changes in the weeks ahead.
For example, all offers for jobs in Bear's asset management division will honored, as will most offers for positions in certain investment bank businesses: commodities, prime brokerage, merchant banking and even some parts of fixed-income sales and trading.
The harder hit areas, those that have the greatest overlap with JPMorgan, include equities, M&A and investment banking.
As a consolation, summer interns turned away by JPMorgan will be offered 10 weeks of pay if they work for certain nonprofit organization and will get an early chance to apply for fall positions.
Graduates denied full-time jobs will keep their signing and relocation bonuses and will have access to career services.
(Editing by Steve Orlofsky)
