JP Morgan Chase is planning to lay off or reassign more than 1000 employees, making it the latest company to cut back on staff as tougher economic times close in. About half the affected workers will be laid off from its home-lending business, with the other half being reassigned elsewhere, as the real estate market prepares to cool down, interest rates rise, and mortgages become more expensive.

A spokesperson for the bank said, “Our staffing decision this week was a result of cyclical changes in the mortgage market. We were able to proactively move many impacted employees to new roles within the firm and are working to help the remaining affected employees find new employment within Chase and externally.”

According to the latest quarterly filing with the Securities and Exchange Commission, JP Morgan has 273,948 employees throughout the world.

The Federal Reserve hiked interest rates by 0.75% last week, the largest increase in nearly 30 years, after the inflation report came in hotter than expected a few days prior. That raised the cost of home mortgages, which promises to cool the real estate market as time goes on.

As a result, real estate brokers like Compass and Redfin have begun to cut their workforce to save money as the real estate market prepares to enter a slowdown.

US home sales fell in May to a two-year low even as house prices rose to a high due to limited supply, going above $400,000 for the first time.