JP Morgan Chase & Co. (NYSE: JPM) is reportedly pushing about 300 employees to sign new contracts, relocating them out of the U.K. in the case of a no-deal Brexit.
Employees, who work in areas such as risk and sales, will be required to relocate to countries such as Germany or France, according to Bloomberg.
The European Union has recently approved a Brexit extension, giving the U.K. until April 12th, 2019 (previously March 29th, 2019) to leave the E.U. if no consensus is achieved between Prime Minister Theresa May and the British Parliament. In case of a no-deal Brexit, there would be no transition period and the U.K. would have to immediately leave the European Union with no agreements as to trade, border, and law regulations, meaning that businesses and consumers would have to respond immediately to changes brought as a result of the exit.
JP Morgan is not the only financial institution that has been preparing for a hard exit. Bank of America (NYSE: BAC) has recently started moving about 400 employees from their London operations to their offices in Paris and Frankfurt. Citigroup (NYSE: C) now also has a new and functioning trading hub in Frankfurt for its E.U. exchanges.
A third vote is scheduled for March 25, 2019, where parliament will decide on approval or denial of Mrs. May revised deal.