The New York Times reports that JPMorgan Chase CEO Jamie Dimon and Citigroup exec Robert Rubin are thought to be joining the growing list of Wall Street's finest who have said that they will not take a bonus this year. The two highest-profile hold outs to date are Citi CEO Vikram Pandit and Bank of America CEO Ken Lewis.
Employees at Dresdner Kleinwort, Goldman, Merrill and Morgan Stanley were given their bonus numbers last week. According to The Observer's unnamed sources, Dresdner's bonus pool was some $551m, of which $180m was reserved for executives on the firm's management committee and to pay guaranteed bonuses.
Bonus pots at all the firms will be significantly down on last year, with Financial News quoting an unnamed Merrill Lynch staffer who said: 'It (bonus advice time) is nothing exciting, because everyone knows the bonus pool is less this year, and there has been guidance on what to expect'.
A few key employees over at Goldman Sachs, however, are said to have managed to bag bonuses flat on last year (which was a record high). But they are the exceptions, as most have seen their bonus cut by at least 50% and many are said to have received a 'sorry no bonus' advice.
And Bloomberg reports that, according to New York-based consulting firm Options Group, volatile FX markets have resulted in many currency traders doing well this year. As a result, the expected 15% decline in bonuses for this group will be among the smallest cuts in the industry.
The New York Times DealBook column also reports that the 4,600 staff over at Wachovia's investment banking division are said to have been advised that their bonus numbers will be 'at least' 90% down on 2007.
Finally, Reuters reports that New York lost some $178m in tax revenues just because six top executives at Goldman Sachs declined to take a bonus this year. Tough times.
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