The company decided to reverse its decision earlier this year to suspend the 401(k) match, and to contribute matching contributions for the full 2009 year, according to Donnelly’s memo to employees. In addition, J.P.Morgan will grant a one-time $500 special award early next year to employees globally with total annual cash compensation of less than $60,000.

Donnelly said that in the United States, this will be made as a contribution to the 401(k) Savings Plan, while outside the United States, it will be paid through local payroll. The firm also decided to continue providing a pension plan for U.S. employees, though it will modify the benefits formula next year to be more aligned with the current market, the memo said.

Donnelly announced the salary freeze for all employees earning above $60,000, put in place last year, would be lifted, with raises effective early in 2010.

J.P.Morgan paid back $25 billion of government bailout funds in June, and therefore is not subject to compensation limits like financial firms where the U.S. still owns stakes.