JPMorgan Chase CEO says bank it will raise minimum pay

J.P. Morgan Chase will give its lowest paid employees a raise over the next two years, its chairman and chief executive Jamie Dimon wrote in an opinion piece for The New York Times on Tuesday.

For example, the new base pay in cities like Seattle, Los Angeles, and Washington, D.C., would increase to $15 per hour by 2019 while in San Francisco and NY it would be $16.50 per hour by 2019.

In his article, he added that too many are not receiving a fair chance to get ahead.

“Our minimum salary for American employees today is $10.15 an hour. nearly $3 above the current national minimum wage”, Dimon wrote. The majority of lower-level employees could see wages of $13.00-16.50, depending on the cost of living in their area.

This news followed Starbuck’s CEO Howard Schultz announcement from Monday that his employees would receive a raise of between 5% and 15% through a mix of cash and stock options.

Meanwhile, as a political debate over raising minimum wages stagnates, some cities and other companies have taken action on their own. The current federal minimum wage is .25 an hour, a rate that has not risen since 2009.

JPMorgan Chase & Co., the biggest US bank by assets, said second-quarter profit fell 1.4 percent, beating analysts’ estimates as fixed-income trading revenue and loan growth jumped. The bank has its headquarters in New York, United States.

On the debit side, the renewed decline in interest rates fueled a 0.05 percentage point drop in JPMorgan’s net-interest margin to 2.25%.

In parallel, there might be one less reason to be upset with the surging price of your coffee from Starbucks – the coffee colossus is planning a pay raise for its front-line workforce.

As of Thomson Reuters, the consensus has $69.89 as its 12-month average price target, which indicates a potential upside of 8.99% over the last close stock price.

So not much of a blow against income inequality-a problem that is in large part driven by the financial industry’s soaring profits.

Revenue rose to $25.21 billion. As a outcome, the performance of the bank is a mediorce 10.0 percent return on equity that the bank has been able to eke out for the last six years. The drop in the unemployment rate below 5 percent has made it harder for employers to fill job vacancies, putting pressure on them to boost pay, both to attract new workers and to retain the ones already on their payrolls.

Courtney Hall, a bank teller at Santander and member of the Committee for Better Banks recognizes the vast disparity between bank CEOs and bank tellers as a cause for action.