By as much as 25%.
Morgan Stanley plans to increase base salaries for junior and midlevel bankers by as much as 25%, a person briefed on the matter said on Monday, in the latest move by Wall Street to try to improve working conditions for those lowest on the totem pole.
The New York Times reports that the change will apply to associates and vice presidents in investment banking and capital markets, said the person briefed on the matter, who was not authorized to speak publicly. Those titles are the second and third rungs on the investment banking career ladder, above junior analysts. Morgan Stanley announced the higher salaries internally last week.
The bump in base salary is intended to provide the bankers with more cash in the near term, since bonuses are often deferred into the future, the person said. The raise does not necessarily mean that the bankers’ total pay will go increase.
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