“People don’t like to commute, so what? JPMorgan Chase CEO Jamie Dimon said a year ago.
Since then, influence has shifted to workers as it has become clear that they would abandon any employer who chained them to their desks five days a week.
In turn, Dimon softened his stance, acknowledging the stamina of working remotely.
“It is clear that working from home will become more permanent in corporate America,” Dimon acknowledged in his annual letter to shareholders on Monday. He then revealed how this trend will affect the real estate of his company, the city’s largest commercial tenant.
The company expects about half of its employees to work full-time in person. This includes retail bank branch employees, security and facilities employees, and others whose work cannot be done remotely.
Meanwhile, around 40% will be able to adopt a hybrid working model, coming into the office a few days a week. The remaining 10% of employees will be able to work from home full-time.
Changes are also coming to JPMorgan’s office layout. Dimon said the company would adopt “open seating” in its building stock, predicting it would need 60 to 75 seats per 100 employees by using more conference rooms and utility space.
Still, Dimon said the company is “moving full steam ahead with the construction of our new headquarters.” He expects the tower, at 270 Park Avenue, to house between 12,000 and 14,000 people.
Last year, Business Insider reported that the bank was pursuing a “universal design” for the tower, allowing for flexible configurations of the space. The building is slated for 2.5 million square feet between Park and Madison Avenues and East 47th and East 48th Streets.
The consolidation of JPMorgan’s employees in the new building, in combination with the hybrid office plan, means the company will rent significantly less space in other buildings in Manhattan.
Last year, the company reduced its retail footprint in the city by 400,000 square feet, a year after a reduction of 300,000.
The bank leases 8.7 million square feet in the city, but is still looking to divest. He is looking to sublet 700,000 square feet at 4 New York Plaza in the Financial District. He is also seeking a sublet for 100,000 square feet in his office at Hudson Yards, 5 Manhattan West, Bloomberg previously reported.