Well, bankers in London are bracing for lower bonuses compared with New York counterparts as earnings from the region plummet and pressure to tighten compensation mounts.
Bloomberg reports that investment bankers and traders at European banks should expect at least a 15% cut in pay this year, while U.S. firms may leave compensation unchanged, three consultants surveyed by Bloomberg said.
That’s because bonus pools at European banks may be reduced by as much as half, while those at U.S. firms, which can cushion the impact of falling fees in the region with earnings from home, may fall 20%, they said.
'The real split is coming, and we will see the quantum divide this year', said Tom Gosling, a partner at PricewaterhouseCoopers LLP in London, referring to the difference in pay between the two financial centers. 'U.S. regulators don’t have the same obsession with pay structures that European regulators have'.
Hit the link below to access the complete Bloomberg article:
London Bankers Bracing for Leaner Bonuses Than New York
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Lehman Opts for Archstone Sale as Apartment REITs Slide
The Alchemists: Three Central Bankers and a World on Fire
Hubris: How HBOS Wrecked the Best Bank in Britain
