JP Morgan Chase is a shining lighthouse in this Dark Age of failing banks. They lead by example, forging the path to success for other banks to follow in their steps. Okay, aside from the 'shining lighthouse' comment, that was essentially true.
JP Morgan Chase is, however, the second largest bank in the United States, recently buying out Washington Mutual and Bear Stearns, for better or worse. Whether it was a humanitarian decision, or merely an economical gain for JP Morgan, they did the country a favor by "bailing out" 2 rapidly declining banks headed for failure. And we didn't even need government intervention for it! Laissez-faire works!
In these slow economic times, JP Morgan has opted to turn to increased outsourcing to keep the company afloat. The company is not only expanding their foreign expenses from $200-$300 million per year to $400 million per year, but is also planning on managing the merging of the companies it has acquired and the merging of IT technology from India. By making this move, JP Morgan puts itself in position to profit as other merging banks, such as Bank of America and Merrill Lynch, look to integrate their IT technology, databases, etc. through outsourcing in order to save 30-40% in costs. These banks will ultimately turn to JP Morgan to help with the process.
By taking its business to India and other countries, JP Morgan is taking potential jobs away from the United States, as is the problem with all outsourcing. But is the sustenance of our banks more important to the American people during these troubled economic times?
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