Wall Street Compensation Set To Decline

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We're all too familiar with the story of layoffs on Wall Street and a hiring slowdown is clearly undeway. But even those who find new jobs will likely be stung by the the downturn on Wall Street. Wall Street compensation packages for new hires are expected to decline by as much as 20 percent, according to a survey of leading recruiters released today.
"Recruiters are in virtually unanimous agreement that compensation for new Wall Street hires will decline, although there is some disagreement as to the extent of the downturn," according to specialized research firm smart cube.
More than 40 percent of recruiters surveyed expect compensation will decline by as much as 20 percent, while 22 percent expect the decline to range between 11 to 16 percent, smart cube's research shows. About one-fifth of the survey's respondents were less pessimistic, predicting a decline of less than 10 percent.
London will also take a hit. In fact, recruiters there are even more pessimistic.
"In addition to imposing layoffs, investment banks will only recruit new employees in areas where there are critical openings that absolutely need to be filled. With Wall Street unemployment steadily rising, the job market pendulum has clearly shifted in favor of employers," says Omer Abdullah, the smart cube managing director who oversaw the survey.

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