Bloomberg reports that, according to a new report issued by US compensation consultants Johnson Associates, 2009 investment banking bonuses are likely to increase by as much as 25% on last year. Bonuses paid to employees working in the asset management industry are thought likely to see further declines this year, however, possibly by as much as 35%.
When I got laid-off over a year ago, I was devastated. Unlike many others in my firm, I hadn't lost my job before and, in fact, was one of those people who really did believe that I was irreplaceable (How naive was that ?).
Here's a few of the best of the reader contributions we have run this year.
With Bank of America and Citi now said to be joining the likes of Morgan Stanley and UBS, and looking at sanctioning base pay increases for senior staff, the pressure is now on other firms to follow or possibly lose key employees to rivals.
Here's a post from a senior investment banker based in Dubai.
The Financial Times reports that Citi is to finally get to grips with the myriad IT systems which form part of the firm's technology platform. Citi is thought to have hundreds of different systems, many inherited following acquisitions, and management now believe that a concerted effort to rationalize the IT infrastructure could result in cost-savings of over a $1bn a year.
The Wall Street Journal reports that Morgan Stanley has 'said it would raise the base salaries of most of its top officers and many top-earning employees in an effort to reduce the importance of their annual bonuses'.
Reuters reports that UBS looks likely to be free to decide the size of its bonus pot this year, unlike 2008, when bonuses (which were around 90% down) were paid soon after the Swiss government bailout.
The latest instalment from Amazing Grace, the former Lehman Brothers fixed income salesperson who went on to become an exotic dancer (and more), is now available online. Scroll down for Episode 4.
Bloomberg reports that UBS has upped the base salary of MDs across the board over at its investment banking unit by an average of 50%, as it tries to retain talent in the face of competition for its staff from rivals. More junior staff are also said likely to be in line for salary increases.