Wall Street Split On Bonus Expectations

eFinancialCareers reports that half the bankers and finance professionals it surveyed expect bonuses this year will be the same or less than they got last year.

Of course that means that half of Wall Street is expecting a bigger year-end bonus; better than 70 percent bigger, say 7 percent.

Market conditions, the Dodd-Frank financial industry regulation overhaul, and restraint by the firms themselves, were cited by the survey respondents as responsible for limiting bonuses. The Dow Jones Industrial Average has been up and down, though it has been climbing steadily since late September. And after the public reaction to the bonus disclosure of the last couple years, it’s not a surprise that firms are tightening up.

Those most optimistic about their bonuses are younger Street workers. Of those with 15 or more years experience, 38 percent are bracing for no or lower bonuses this year.

In reporting the results of the global survey, eFinancialCareers says compensation is a particular challenge for Wall Street firms. “It’s never an easy balance when retention continues to be an issue,” says Constance Melrose, eFinancialCareers North America managing director. “In fact, nine percent of those expecting fatter payouts said the primary factor was switching employers.”

John Zappe is the editor of TLNT.com and a contributing editor of ERE.net. John was a newspaper reporter and editor until his geek gene lead him to launch his first website in 1994. He developed and managed online newspaper employment sites and sold advertising services to recruiters and employers. Before joining ERE Media in 2006, John was a senior consultant and analyst with Advanced Interactive Media and previously was Vice President of Digital Media for the Los Angeles Newspaper Group.

Besides writing for ERE, John consults with staffing firms and employment agencies, providing content and managing their social media programs. He also works with organizations and businesses to assist with audience development and marketing. In his spare time  he can be found hiking in the California mountains or competing in canine agility and obedience competitions.

You can contact him here.

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