UK
With Merrill Lynch bonuses announced before Christmas, BofA bonuses to be announced next week, and last week’s intervening revelations of huge losses at Merrill Lynch in the fourth quarter plus a new injection of government cash, rumour has it that some BofA bankers fear they’re about to be seriously short-changed.
The upset appears to stem from the fact that some ML staff were paid decently and may therefore have depleted the combined bonus pot.
One BofA insider says this isn’t the case. “Merrill bonuses were always going to be separate from ours,” he says. “I’ll find out mine before the end of January – assuming I still have a job.”
He adds that ML bankers were paid down too: “From the people I know who work at Merrill, it wasn’t pretty. The best bet now is to lose your job and get a big payoff.”
Re “Lose your job and get a big pay off”…this guy must really have his ear close to the ground ref severance pay am hearing and can see fractions of the amounts being paid now as copmared to the “Wunder” years…Think 3 months and you might be lucky
right
mr. oldtimer, you obviously have no idea of whats happening and are just guessing based on your “experience” of the industry, to a lot of ppl the payoff indeed wud be huge, much better than keeping ur job if u rnt getting any bonus.
From personal experience I would say that keeping your job would be a thousand times better than getting your severance, which in most cases may cover you for tops 3 months of expenses in London. Trust me, it will not take you 3 months to find a job…..count 12!
Today is supposed to be THE day at BOA. After months of waiting, mood is said to be very sombre. Numbers departing are openly expected to be 40% of the Trading floor that is still left. After the blood letting the bonus numbers will come out. Word is the numbers loaded into the system at big disc to last year have been cut in half without a word to managers. Rumour mill is also saying Merrill ppl got paid about what they got in 2007 & for ppl sitting in BoA watching their jobs & shareholdings disappear into the MER sinkhole that is hard to rationalise. Common complaint, right or worng, seems to be if you blow up one Bank you get rewarded with level YOY comp & key jobs at the next place. If you worked in the conservative BOA environment that avoided much pain but also hampered growth, you get shafted – why work in risk focused org when you lose your job anyway? For those at BOA who keep their jobs at least they are going to have front row seats tothe culture clash.
2009 is going to be the year the party finished for Merrill bankers.
“whoelsebutme”…i have little else to do but read these articles as my Trading Floor ,like most ,is morgue like.
As to my maturity..i look good for it
Um Huge PayOffs ?? !!! yup take your shares early vested..well thats damn all then
The only people who will get huge pay offs are those who have lock ins..and most of them will not be let go
In London certainly pay offs are unfortunately now going at not much more than the statutory minimum( rounded up a tad) think 5 years service ..think 3 months and that is well above that which is required by regulations
Where on earth do you see these payoffs..we have now shed some 12% this 1/2 year (gives you a good clue where i work) and i can assure you that people are not going out straight to any car dealership
Friends at other banks are telling me the same and anecdotally most people know this to be the same in most places..
But if your Bank is paying mega severances..then lucky you..but for goodness sake spend it wisely..its gotta last quite a time