Congresswoman Grills Bank CEO on Employee Pay

Banking CEO Jamie Dimon (salary: $31 million) was stumped when asked how one of his employees could manage her $567 monthly budget shortfall.

Transcript

00:00My question for you, Mr. Diamond, is how should she manage this budget shortfall

00:04while she's working full-time at your bank?

00:06I don't know. I'd have to think about it.

00:17She had $2,425 a month. She rents a one-bedroom apartment. She and her daughter sleep together

00:24in the same room in Irvine, California. That average one-bedroom apartment is going to be $1,600.

00:29She spends $100 on utilities. Take away the $1,700, and she has net $725.

00:35She's like me. She drives a 2008 minivan and has gas. $400 for car expenses and gas. Net $325.

00:44The Department of Agriculture says a low-cost food budget. That is ramen, noodles.

00:48A low food budget is $400. That leaves her $77 in the red. She has a Cricut cell phone,

00:54the cheapest cell phone she can get, for $40. She's in the red $117 a month.

00:59She has after-school child care because the bank is open during normal business hours.

01:03That's $450 a month. That takes her down to negative $567 per month.

01:09My question for you, Mr. Diamond, is how should she manage

01:12this budget shortfall while she's working full-time at your bank?

01:16I don't know that all your numbers are accurate. That number is generally a starter job.

01:24She is a starting employee. She has a six-year-old child. This is her first job.

01:28You can get those jobs at a high school, and she may have my job one day.

01:32She may, but, Mr. Diamond, she doesn't have the ability right now to spend your $31 million.

01:37She's short $567. What would you suggest she do?

01:41I don't know. I'd have to think about that.

01:43Would you recommend that she take out a JPMorgan Chase credit card and run a deficit?

01:48I don't know. I'd have to think about it.

01:50Would you recommend that she overdraft at your bank and be charged overdraft fees?

01:55I don't know. I'd have to think about it.

01:58So, I know you have a lot of—

02:00I'd love to call up and have a conversation about her financial affairs and see if we can be helpful.

02:04See if you can find a way for her to live on less than the minimum that I've described?

02:09Just be helpful.

02:10Well, I appreciate your desire to be helpful,

02:12but what I'd like you to do is provide a way for families to make ends meet

02:15so that little kids who are six years old living in a one-bedroom apartment with their mother

02:19aren't going hungry at night because they're $567 short from feeding themselves, clothing them.

02:24We allow no money for clothing. We allow no money for school lunches.

02:28We allow no money for field trips. No money for medical.

02:30No money for prescription drugs. Nothing.

02:33And she's short $567 already.

02:36Mr. Diamond, you know how to spend $31 million a year in salary,

02:39and you can't figure out how to make up a $567 a month shortfall.

02:44This is a budget problem you cannot solve.