JPMorgan Plans Hiring, Pay Boosts

According to media reports, investment bank co-heads Steve Black and Bill Winters said they are increasing compensation to lure new employees and retain current staff. "We're highly confident that we'll have exactly the team we want through the ranks," Winters said at the firm's annual investor day.

The executives said they're actively tackling management problems and that more changes in the trader and management ranks may be coming. Said Black: "We don't have any problem with people within our organization wondering if they're going to be held accountable" for their performance.

After a disappointing fourth quarter 2005, the company said it expects its hiring push and better capital allocation and investment to boost results going forward.