• News

    Bank Of England Committee Member Proposes Deferring Decades For A Decade

    Bankers’ bonuses should be deferred for as long as 10 years to hold executives accountable […]

    / Feb 8, 2013 at 4:52 PM
  • barclaysblimp2


    Bonus Watch ’13: Barclays Managing Directors Have Something To Look Forward To In 2016

    If you like delayed gratification you’ll love the payment plan management has come up with.

    / Feb 8, 2013 at 2:04 PM
  • ubs


    Bonus Watch ’13: UBS

    The Swiss bank will reportedly announce today that it’s going to be doing things a little differently around here re: compensation. One, deferrals will start at $250,000 and two, rather than being paid in UBS stock, the non-cash portion of 6,500 senior employees’ bonuses will come in the form of subordinated debt that can and will be wiped out in the event the amount of capital on hand falls below the level required by EU regulators, putting the onus on everyone to make sure no one pulls an Adoboli and avoids multi-billion dollar fuck-ups in general.

    / Feb 5, 2013 at 1:47 PM
  • Deutsche_Bank_-_Trust_Wave_Arche


    Bonus Watch ’13: Deutsche Bank

    The good news: there will still be bonuses this year, which is something! The even better news, for those who’d describe themselves as fans of tantric bonuses: it’ll be a while before you see it all.

    / Feb 1, 2013 at 12:32 PM
  • Richard Handler


    Bonus Watch ’13: Jefferies CEOs

    Dick Handler ended up doing pretty okay for himself.

    / Jan 29, 2013 at 5:17 PM
  • Brian Moynihan


    Bonus Watch ’13: Bank Of America

    Apparently some did not fare as well as others.

    / Jan 25, 2013 at 6:40 PM
  • Brian-Moynihan-Bank-of-America


    Bonus Watch ’13: Bank Of America

    A few details from the House of Moynihan’s IBD bonus communication day, which was said to leave people feeling “glum.”

    / Jan 25, 2013 at 4:20 PM
  • News

    Bonus Watch ’13: Morgan Stanley CEOs

    The bad news: James Gorman’s pay fell 30 percent this year. The good news: he’s now in a position to show employees how to take these setbacks like a man, rather than grumbling like someone who puts their compensation in a one-year context to define their overall level of happiness.

    / Jan 24, 2013 at 6:38 PM
  • Brady-Dougan1-260x377


    Bonus Watch ’13: Credit Suisse

    A few details from the House of Dougan’s bonus communication day.

    / Jan 23, 2013 at 4:24 PM
  • lloydblankfeingarycohn


    Bonus Watch ’13: Goldman Sachs

    A few details from yesterday’s big day.

    / Jan 18, 2013 at 10:52 AM
  • jamesgormanmorganstanleytradingfloor


    Bonus Watch ’13: Jim Gorman Gives Employees The Option To Either Take Their Bonus In Three Easy Installments

    Since taking the reigns at Morgan Stanley in 2010, CEO James Gorman has guided the firm with a managerial style that boils down to telling people, more or less: You’ll get it when you’ve earned it, “it” being anything from personal space to money to his respect. On the point of compensation, last year he told employees complaining about what they were paid to either open a newspaper and get over themselves or do everyone a favor and quit. Today brings news that this year, he’s doubling down on that mandate and daring anyone to make something of it.

    / Jan 15, 2013 at 4:09 PM
  • barcapbird


    Bonus Watch ’13: Barclays, Credit Suisse Bonuses To Spend Some Time In The Pool

    Like Deutsche Bank, management at BARC and CS think shrinking bonuses up to 20 percent […]

    / Jan 14, 2013 at 5:42 PM
  • Deutsche_Bank_-_Trust_Wave_Arche


    Bonus Watch ’13: Deutsche Bank Is Mulling Over The Idea Of Paying A Li’l Less This Year, Would Appreciate Rivals Throwing Them A Bone And Doing The Same

    The Germans might take an ax to bonuses, cutting them by 20 percent, or they might not. According to CEO Anshu Jain, what it may come down to is whether or not other banks will help him out here by getting on board with the proposed reductions, as it would make DB look bad to be the only firm doling out tough love this year. Thanks in advance.

    / Jan 14, 2013 at 10:09 AM
  • Jordan Tabach-Bank


    Bonus Watch ’13: Beverly Hills Pawnshop Owner Is Here To Make Sure You Get Paid

    Beverly Loan Company is a high-end pawn shop three floors above the Bank of America […]

    / Jan 11, 2013 at 6:18 PM
  • rbs


    RBS: Those Libor Fines Don’t Pay For Themselves!

    Like many of its peers in the banking world, RBS used to make a habit of manipulating Libor (among other things). And, as recent reports suggest, the Royalest Bank of Scotland is probably going to be forced to cough up £300m (and fire a couple execs) to convince the government everyone is very sorry and it won’t happen again. How does the bank, which has not had a money-making quarter since the financial crisis,* plan to come up with the cash? By 1) taking back bonuses that were already paid out to people who were involved in the scandal and 2) reducing everyone‘s bonus this year.

    / Jan 11, 2013 at 11:11 AM
  • Credit-Suisse

  • News

    Down-Under Sheep Fanciers Oppressed By Skinflint Bankers

    All eyes are on the bonus checks going out to the financier set: those of Wall Street, those of the City, those of rural Australia.

    / Jan 2, 2013 at 2:33 PM
  • Honestly she has nothing to do with this at all, but she's (1) European and (2) kind of fun to look at.


    On The Bright Side, European Banking Bonuses May Be A Lot More Predictable

    It’s probably good news that “European Union finance ministers reached a landmark deal early Thursday […]

    / Dec 13, 2012 at 1:26 PM
  • richard_handler--300x300


    Bonus Watch ’12: Jefferies Has Got Your Cold Hard Cash Right Here

    Back in the day, as in pre-crisis, bonus season on Wall Street was a happy time. Sure, you still had your miserable pricks who would bitch and moan about the fact that they hadn’t gotten as much as the guy who sat next to them, even they the guy who sat next to them was a “non-contributing zero who wouldn’t recognize alpha if it bit him in the ass,” but prior to to fall 2008, anyone who was unhappy about his or her bonus was a) quibbling over receiving a huge sum of money instead of an imperial fuck-ton of money and b) in a position to actually make good on a threat to jump ship, since firms were hiring. Now, with a few exceptions, bonus season makes people feel sad. Angry. Impotent. Like the world is out to get them. Not only has the total amount of one’s bonus come down, but many companies have decreased the cash portion, while increasing the deferral period on stock to, in some cases, almost half a decade. Then you have Jefferies. Last year it let employees decide between an all stock bonus or an all cash bonus with 25% lopped off.  This year the investment bank-cumbutcher shop isn’t even forcing anyone to choose, instead dumping a bag of cash on everyone’s desk and reminding them who loves ’em.

    / Dec 11, 2012 at 5:52 PM
  • News

    Bank Of England Wants To Pay Out Bonuses Over A 20 Year* Period

    Bankers’ pay needs to be curbed further to reflect the risk of a bank failure […]

    / Dec 4, 2012 at 8:33 PM
  • jamesgormanmorganstanleytradingfloor-260x143


    James Gorman Will Say Something Nice About Wall Street When Wall Street Earns It

    If you’re looking for a cheerleader, go bark up another tree.

    “Say you want to be out ahead of it and give a lot of speeches and talk about all the good we’re doing,” Gorman said today at an industry conference in New York. “And then some trader does some stupid thing like this guy at UBS did and he’s in jail and all bets are off,” Gorman said. He was referring to Kweku Adoboli, the UBS AG trader convicted of fraud this month in the largest unauthorized trading loss in British history…Traders at New York-based Morgan Stanley had too much latitude in the past, “what I call having an outsized sandbox,” Gorman, 54, said at the conference, which was sponsored by the Securities Industry and Financial Markets Association. “Until we can be really confident we’ve got discipline around the sandboxes, I think you have to be really careful not to be holier than thou,” Gorman said. “We’re going to be in the doghouse for a while.”

    Incidentally, this would a good time to mention that Gorman’s bonus policy instituted last January– STFU or GTFO— still stands.

    / Nov 30, 2012 at 12:05 PM
  • mikecorbatweightlifting


    Layoffs Watch ’12: Citigroup Has Begun The First Phase Of Its Total Body Makeover

    Back in October, new Citi CEO Mike Corbat’s personal trainer predicted that Vikram Pandit’s replacement would waste no time whipping the place into shape, just like he whipped himself into shape in 2010 with the fat-torching Spartacus Workout. Whereas someone else might’ve let the bank have until the new year to get serious, allowing for one last season of pigs in a blanket and egg nog and late night pizza and entire gingerbread houses, Citi’s day’s of “I’ll start the diet tomorrow” are over. Corbat’s  transformation plan starts TODAY.

    / Nov 29, 2012 at 11:29 AM
  • Vikram Pandit of Morgan Stanley at Reuters Finance Summit.


    Bonus Watch ’12: Ex-Citigroup CEOs

    Just because they unceremoniously threw him out on his ass doesn’t mean the board wants to see Vikram go home empty handed.

    Vikram Pandit, Citigroup’ ousted chief executive officer, will get about $6.7 million in 2012 compensation and will forfeit some awards tied to a $40 million retention package granted last year. John Havens, who resigned last month as Citigroup’s chief operating officer on the same day as Pandit, will get about $6.8 million for 2012 and also forfeit some awards, the New York-based lender said today in a regulatory filing. Citigroup is the third-largest U.S. bank by assets. “Based on the progress this year through the date of separation, the board determined that an incentive award for their work in 2012 was appropriate and equitable,” Chairman Michael E. O’Neill said in the filing. “While Citi will also honor all past awards that they are legally entitled to, there are no severance payments. Awards to which they are not legally entitled have been forfeited.”

    Citigroup’s Pandit $6.7 Million Compensation For 2012 [Bloomberg]

    / Nov 9, 2012 at 6:19 PM
  • bonusbitch


    Bonus Watch ’12: Whole Bunch Of Financial Services Employees Will Get Nothing, May Or May Not Like It

    Santa will leave many bankers and traders empty-handed this holiday season. One in five Wall […]

    / Oct 25, 2012 at 6:19 PM
  • News

    Bonus Watch ’12: Retired Citigroup CEOs

    Uncle Vik may or may not be getting a little something extra in his stocking, depending on how generous Citi is feeling.

    Vikram Pandit, who stepped down yesterday as Citigroup’s chief executive officer, stands to forfeit almost $33 million in cash and stock from a retention package unless the board gives him a payout to ease his exit. Citigroup formulated a plan last year that, based on the firm’s performance so far, would have given Pandit $19 million through a profit-sharing agreement, deferred stock now valued at $9 million and $4.6 million in options, according to the terms of a May 2011 regulatory filing and data compiled by Bloomberg. The plan required Pandit, 55, to be employed at the bank through various payment dates, most of which haven’t been reached.

    It’s typical for CEOs who resign to forfeit previously negotiated severance and to work out an alternative payout agreement with the board, said Steven Hall, managing director of Steven Hall & Partners, a New York-based executive compensation consulting firm. Pandit getting nothing would signal that “he stood up and said, ‘I’m resigning,’” Hall said. If he gets a payout, “then the question is, did they give him that in order to smooth the path to his resignation or termination? Or did they look at him and say, ‘You know what, you did a hell of a good job during a very, very rough time, we’d like to do something nice for you,’” Hall said.

    Pandit Could Forgo $33 Million as Exit Voids Retention Plan [Bloomberg]

    / Oct 17, 2012 at 2:24 PM
  • News

    Bonus Watch ’12: Now With Less Cash

    According to “revenue compensation trends,” though good vibes and happy thoughts could prove them wrong.

    Wall Street’s cash bonus pool is likely to fall for a second straight year as the financial industry grapples with market turmoil, economic weakness and new rules, New York state Comptroller Thomas DiNapoli said. Revenue and compensation trends have “edged downward” since February, when DiNapoli estimated that the 2011 pool for Wall Street declined by 13.5 percent to $19.7 billion, the comptroller said today in a report. “Based on those trends, the total cash bonus pool for work performed in 2012 is likely to decline for a second year in a row,” DiNapoli said in a statement. The last time the pool shrank for two consecutive years was in 2007 and 2008, at the beginning of the global financial crisis, according to the comptroller’s office.

    Wall Street Bonus Pool Seen Shrinking for Second Straight Year [Bloomberg]

    / Oct 9, 2012 at 4:46 PM
  • News

    Bonus Watch ’12: Half Of Wall Street Feeling Pretty Positive About Pay Day

    Now that we’re nearly halfway through October, several items on your to-do list will have undoubtedly been upgraded in urgency: scouring Starbucks near and far for for Pumpkin Spice lattes before it’s too late, and being dead serious in telling the baristas at the various locations claiming unavailability that they’ve ruined your life; coming up with a Halloween costume that’s at once slutty and topical; and discussing bonus expectations. Despite the fact that bank CEOs and people who speak on their behalf have suggested (by saying outright) that pay will come down this year, and that anyone who still has a job in 3-4 months should consider that their bonus, some on Wall Street are apparently predicting they’ll do pretty well for themselves this year and very well circa 2015.

    There seems to be a disconnect between what Wall Street execs have been reading lately and what they believe. Nearly half (48%) of them surveyed by eFinancialCareers expect their bonus to be higher this year despite recent news reports to the contrary…Of those who believe bonuses will increase in the next three years, over half (53%) are convinced bonuses will return to 2006-2007 levels.

    For those not as confident their take-home will soon revert back to the glory days and looking to make a change into a more lucrative field Bloomberg today notes that “welders top banking pay.”*

    Despite news reports that Wall Street bonuses will be down, more Wall Streeters are expecting them to be higher [eF]
    Wall Street to Cut Pay Instead of Jobs, Graseck Says [BW]
    Caterpillar’s Worker Hunt Means Welders Top Banking Pay [Bloomberg]
    Related: Layoffs/Bonus Watch ’12/’13: Morgan Stanley
    *…Though not until 15th paragraph is it noted that they’re actually talking about ‘bank tellers,’ which seems less than helpful to the audience.

    / Oct 9, 2012 at 12:35 PM
  • News

    Layoffs/Bonus Watch ’12/13: Morgan Stanley

    Back in January, Morgan Stanley CEO James Gorman sent a simple messages to his employees, who had been grumbling about their pay: STFU or GTFO. “You’re naive, read the newspaper, No.1,” Gorman told Bloomberg he would say to any members of his staff that wanted to give him lip about their compensation to his face. “No. 2, if you put your compensation in a one-year context to define your over all level of happiness, you have a problem which is much bigger than this job. And No. 3, if you’re really unhappy, just leave.” Today, in an interview with the FT, Gorman reiterated his stance and added that in addition to reducing compensation for current employees, the bank will likely be drastically cutting pay for future analysts. If anyone has a problem with that, consider applying for a gig at Bank of Mythical Pre-Crisis Era Bonuses. Alternatively, Gorman is happy to discuss a compensation plan in which you’ll be awarded shares of his foot in your ass, which vest immediately.

    In the latest sign of the pressure Wall Street is under to cut costs and address high pay levels, James Gorman, chief executive, said that staff and remuneration would have to be sacrificed as banks cope with lower profits. “There’s way too much capacity and compensation is way too high,” Mr Gorman said in an interview with the Financial Times. “As a shareholder I’m sort of sympathetic to the shareholder view that the industry is still overpaid.”

    Morgan Stanley itself is already axing 4,000 jobs, 7 per cent of its workforce, by the end of this year. In the new year, Mr Gorman said, the bank will consider its next round of cost-cutting, including lower pay and bonuses. News of further pay cuts, including potentially for new entrants at the investment bank, comes just weeks after Goldman Sachs confirmed it was overhauling its well-known entry-level programme for analysts. Goldman was said to have tired of the number of analysts in the programme who left the bank for hedge funds. Mr Gorman said that Morgan Stanley will probably keep its own analyst programme, but pay could be reduced significantly.

    Morgan Stanley Chief Warns On Wall Street Pay [FT]
    Earlier: James Gorman To Employees: STFU Or GTFO

    / Oct 5, 2012 at 11:48 AM