Recently, besides slashing jobs at the company, Dimon imposed other cuts. According to the article:

“Over the past two and a half years, Dimon has ordered the closure of the bank’s 16 gymnasiums, cut off more than 50,000 unused phone lines, stopped hiring executive training coaches at hundreds of dollars an hour, sold more than four million square feet of unused office space and ruled that investment bankers should not be given BlackBerrys and mobile phones – a decision he was later persuaded to reverse.”

Bankers also complained that last year’s bonuses were not comparable with bulge bracket competitiors and are eagerly awaiting whether this year pay will be up to snuff.

“Investment bankers in and outside the bank, on either side of the Atlantic … say the bank’s compensation awards last year were below those at its bulge-bracket peers. According to Wall Street headhunters, JP Morgan paid the least among the top seven US banks.

A former JP Morgan banker said of Dimon: ‘He really missed the mark last year. Everyone at the bank is willing to give him a pass on not getting it right once, but if he doesn’t get it right this year they won’t be so tolerant. People will start walking.’

That was a claim rubbished by a banker in Europe, who says the bank carries out research to make sure it is paying in line with its peers. Another said: ‘Investment bankers do not give grace periods.’”

But Dimon upped the capital allocation $1BN to $21BN this year, and told staff that he would invest more in the business if earnings continued to be “erratic,” according to the FinancialNews. Dimon is targeted commodities, mortgage-backed securities and direct investments as areas for development.