730 jobs to be cut as Kennesaw credit card center closes

JPMorgan Chase plans to close a credit card customer service center in Kennesaw by mid-2010, eliminating 730 jobs.

Employees at the facility primarily staff a call center and collections department for a credit card that Chase co-branded with Circuit City, the electronics retailer that filed for bankruptcy last November and later announced plans to liquidate.

On Friday, Chase confirmed the decision to close the Kennesaw facility. In an e-mail, a company spokeswoman said the decision comes “in light of the recent Circuit City liquidation, as well as the need to realize operational efficiencies.”

Job losses continue to mount in Georgia as the recession deepens. In January, more than 120,000 Georgians filed for jobless benefits, nearly twice as many as the year before. About 400,000 Georgians are officially unemployed.

Kennesaw Mayor Mark Mathews said the layoffs will sting, hurting businesses like restaurants and shops frequented by the call center employees.

“Obviously it will hurt the whole community, but we will survive,” he said.

Some of Atlanta’s largest companies have announced layoffs in recent weeks, including Home Depot, Georgia Power and Newell Rubbermaid.

Employees at the Kennessaw center will be eligible to apply for jobs elsewhere in the company.

Chase took over troubled Washington Mutual last September, gaining the company a foothold in the Atlanta banking market. Chase employs 550 people at 55 Washington Mutual branches in the metro area. The layoff does not impact any of the branches.

“We understand that this change will be difficult for the people affected, and our management teams will work closely with each employee throughout the transition,” said Tanya Madison, a Chase spokeswoman.

The company did not say when the cuts will begin.