JPMorgan Chase (JPM) employees may have to share biometric data if they want to be allowed into the investment bank’s new building in New York.
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Required Data
The bank has, according to the Financial Times, emailed staff already working in the multibillion-dollar building that biometric access was “required”.
It is understood that the bank had previously planned for the registering of biometric data by employees at the Manhattan skyscraper to be voluntary.
An individual’s biometric information is typically a photograph of their face, and images of their fingerprints or even irises.
An employee trying to get into their place of work would therefore have to have their fingerprints or eyes scanned by security staff, instead of swiping their ID badges. Arguably, not a perfect start to the morning.
There will have to be a lot of scanning given that the new HQ, which cost a reported $3 billion to build, will be the base for 10,000 staff when it is fully occupied later this year.
Security Need
JPMorgan did not comment in the FT article, but it is believed that the use of biometric data for access is designed to make the building more secure.
That’s both the employees and management following the shooting of Brian Thompson, the chief executive of UnitedHealthcare (UNH) last year, and to stop intruders intent on stealing information to be used in a cyber attack.
JPMorgan has previously claimed that it faces 45 billion hacking attempts a day.
Biometric enrollment is understood to remain voluntary at other JPMorgan offices, including London, where voluntary hand biometrics have been introduced at its Bank Street office.
This process involves an employee’s handprint being encrypted so the company does not have access to the data.
This is a tricky area for big businesses. On the one hand they are keen to utilise the latest technology to protect their operations, but on the other don’t want it to come at the expense of employee relationships and trust.
These are key risks for both JPMorgan – as seen above – and investors looking to add the bank to their portfolios.
Is JPM a Good Stock to Buy Now?
On TipRanks, JPM has a Moderate Buy consensus based on 12 Buy and 6 Hold ratings. Its highest price target is $350. JPM stock’s consensus price target is $330.13, implying an 8.05% upside.
