Not to change the subject, but Bank of America is apparently in the process (as in this morning) of laying off IB employees. No specifics on severance, though according to one person familiar with the proceedings, parting gifts from previous rounds have been “embarrassing…2 weeks for each year with the firm.” Carry on.
— Advertisement —
Comments (31)
Leave a comment
You can log in with your account or comment as a guest below.
- Use the Bloomberg command
NH BLG_DEALBREAKER <GO>
to access Dealbreaker
It’s sort of like the Peter Principal in reverse, right? Being reduced to your level of incompetence?
maybe this will knock these d-bag investment bankers down a couple of notches
tell me again, how much your bonus will be…hahahaha
“Peter Principle”……Ain’t that a Barry White song?
Bonuses? Please. Let’s face it, revenue has not been down that much over the past year, maybe 15-20%, tops. That is how far bonuses will be down.
Wall Street may be backward looking, but these layoffs are indicative of the future. 2008 bonuses won’t be “that bad”, but 2009, well… that could hurt.
I’m starting in Research at BoA Securities… Anyone know how you’re getting treated there?
Heard that Research is being axed at BoA after lunch today.
To 11:08, I heard they are treated very bad, they make people actually work, and pay attention to what they do, and things like that….. what the f…. just shut up and go to work! Be glad you have a job.
Commiserate with others about layoffs, bad bonuses and other bad things about ibanking: http://www.stuffinvestmentbankerslike.blogspot.com/
BoA has an IB group ???
Its a bad sign when they paint over the word ‘research’ and use magic marker to re-label the door – ‘Car Re-po Dep’t’. Unless you’re researching car repos of course.
Judson…you are an idiot….this is probably among the worst years ever for investment banks (to remind you: we’ve had one fail, one on the brink, and all the others diluting the pshit out of equityholders because they have to raise capital to pay for their lousy bets)…revenues are off significantly, and banks’ balance sheets have been destroyed…you think people are going to get paid this year? You are a wingnut.
Research doesnt get paid shit anyway, your good year would be considered a distaster by any other group.
What is this, their 4th round of layoffs in the last 6 months?!?!
@11:15 get your head out of your ass. Just because balance sheets are off, one bank failed, and another is being run from “eh, it’s possibly BB” to “eh, it’s crap”, doesn’t make the market. IBD bonuses = tied to IBD revenue streams. IBD revenue streams aren’t down as much as people would have you believe. Do your research, asshole.
Plus, JPM has already taken care of the Bear layoffs, so the market has already corrected itself for that.
Plus I’ve got it confirmed that analysts laid off in a decent MM shop with a brand name got paid $55 in a bonus for first year analysts.
11:14 – please stop promoting your amazingly awful, not-funny website. posting links to garbage sites like that on a quality/humorous site such as dealbreaker only makes your “blog” look that much worse. it’s a lost cause. get back to work.
@11:26 Wrong. $55 was only for the female analysts.
oooh…you just got served – he’s got that shit confirmed. i’ve got no worries now.
@ 11:14 – check the league tables, BoA is near the top…
Judson, if IB revenues are so awesome why has every bank laid off oodles of employees?
A few groups might be doing “ok”, but on the whole IB is f’d this year, and if you disagree, please sir, enlighten us as to what you’re basing that viewpoint on.
@ 11:14 AM
My exact thought…
can someone clarify – is this current or incoming analysts? if current, it’s gotta be first years as the 2nd years are outta there…
IBD at every major bank are definitely feeling the pain – every deal is on hold, and no one wants to go out in this market, some more so than others. Take it from someone who has an open dialogue with several banks
@ 11:49 – Reread my first post. The layoffs are because they overhired in 2007, 2008 was not nearly as good as expected, and they expect 2009 to be worse than 2008. That’s why people are getting the axe.
In case you all were wondering why the trials and travails of IB/Finance types in general don’t get more mainstream sympathy, that quote contains your answer. To the average schmuck, two weeks pay for every year worked isn’t “embarrassing,” it’s a gift from God. Most of ‘em are lucky to get their last checks on time. Or any notice other than, “You’re fired. There’s the door. Don’t steal anything on your way out.”
Don’t get me wrong. Getting fired sucks big time, no matter who you are. But buck up, little campers. At least they’re not chucking you out of the SRO because you can’t make the rent on Friday.
M
Judson Clark @ 11:26 am. JPM already took care of the Bear IB analysts? Well, of 65 in the 2007 Bear IB analyst class, JPM hired nine. How those nine will be treated at JPM at bonus time is a question of interest to all remaining second year analysts at JPM and the 56 laid-off Bear IB analysts, who expect a pro-rated bonus in July to supplement severance pay.
I lost my associate job at bofa a couple of months ago, and that was in the fourth wave of layoffs. I guess this would be the sixth of seventh wave now. The way employees have been treated there is awful. B-schoolers/undergrads thinking of joining this organization might consider chewing on glass as a superior alternative.
Self Regulatory Organization?
guest @2:40 – how long were you at Bofa? What desk did you sit on?
SRO – Single Room Occupancy. It’s like the Y, only not as wholesome. (Take that as you will.) We used to have a lot of ‘em in Chicagah before da Mare started cleanin’ up the place.
M
oh, you mean a Room House, that’s what we call them in the ghetto.