JP Morgan sees IT jobs fuelling doubling of its Dublin workforce

No Brexit dividend for Irish subsidiary as UK roles shift to other European locations

JP Morgan headquarters in New York. The US banking giant is preparing for the official opening of its new Dublin offices next week. Photograph: Eduardo Munoz/Reuters

JP Morgan headquarters in New York. The US banking giant is preparing for the official opening of its new Dublin offices next week. Photograph: Eduardo Munoz/Reuters

 

JP Morgan sees growth in information technology (IT) jobs as a key driver of an expected doubling of its Irish workforce in the coming years, as the US banking giant prepares for the official opening of its new Dublin offices next week, according to sources.

However, it is understood the Irish subsidiary will receive little by way of a “Brexit dividend” as hundreds of UK roles are shifted to other locations in Europe as a result of Brexit.

JP Morgan Bank (Ireland) plc, which employs about 530 people in Dublin, moved late last year to its new headquarters – 200 Capital Dock in the south docklands – which has the capacity to accommodate 1,100 workers.

The Irish business, headed up by Carin Bryans, moved almost two years ago to buy the 130,000sq ft (12,077sq m) building as it was under construction, under a forward-funding sale agreement estimated to amount to €125 million. US property group Kennedy Wilson and the National Asset Management Agency (Nama) developed the building as part of mixed-used scheme, anchored by a 22-storey residential tower, that was completed last year.

Group chief executive Jamie Dimon is set to preside over the official opening of the new Irish headquarters early next week.

Two key areas

JP Morgan’s Irish business, which can trace its roots back to 1926, is currently made up of two key areas: securities services, which provides back office support services to mutual, hedge and private equity funds; and treasury services, which provides treasury and cash management services to clients internationally, including US multinationals based in Ireland.

Both these businesses have been expanding rapidly in recent years. In late 2016, Joan Kehoe, previously of fund administration firm Quintillion, became the Dublin-based global head of alternative investment services, while Gavin Tobin was hired from Deutsche Bank as global head of private equity fund administration.

Two years’ ago, Fearghal Woods took on the role of head of product management for fund administration for JP Morgan across Europe, Middle East and Africa (EMEA). JP Morgan has more than $300 billion (€266 billion) of assets under custody in Ireland.

Meanwhile, JP Morgan Bank (Ireland) is also home to the group’s European headquarters for merchant services, the processing of credit card and other payments for retailers. This business is led by Catherine Moore.

Technology hub

The main growth area in recent times has been the Irish unit’s technology hub, which currently employs about 60 staff. This area is expected to be a key driver of future employment growth in Ireland, according to sources. A spokesman for the bank declined to comment on the plans.

While Mr Dimon said before UK voters decided by referendum in June 2016 to leave the European Union that as many as 4,000 of its UK jobs could move elsewhere, bank executives signalled last year that initial job losses would be “in the hundreds”.

Bank of America and Barclays are the main international banking groups that are moving businesses of scale to Ireland as they prepare for Brexit.