BofA Ups Junior Pay Again to $100,000 in Race to Retain Talent
(Bloomberg) -- Bank of America Corp. is boosting base salaries again, lifting pay for junior bankers across the firm to $100,000 from $95,000 in a bid to remain competitive in the war for young talent on Wall Street.
The company will pay that amount to first-year analysts in the global corporate and investment-banking, global-markets and global-research divisions, according to a person with knowledge of the matter. Second-year analysts will get a base of $105,000 while third years will receive $110,000, the person said, asking not to be identified discussing private information.
The changes take effect in February, the person said.
“Fostering an environment where you can build a long-tenured career is of the utmost importance to us,” the executive committee of Bank of America’s global banking and markets team wrote in a memo to employees Friday.
A spokesman for the bank confirmed the contents of the memo.
The lender in April became the first on Wall Street to dangle higher wages and other incentives in front of its lowest-ranking bankers, who’ve been struggling under crushing work loads during the pandemic. Others have handed out bonuses, offered vacations and banned weekend work to ease pressures.
Despite the competition, BofA is confident it can retain young talent as Wall Street firms bid up salaries for junior bankers burned out by the pandemic, Chief Executive Officer Brian Moynihan said in an interview with Bloomberg TV last month.
Talented college graduates are attracting competitive offers from private equity and other lenders, and that competition is “OK” as Bank of America seeks to add people, Moynihan said.
The Charlotte, North Carolina-based firm has launched initiatives in the past decade to help junior bankers learn and engage with clients, give them access to senior leaders, increase productivity and get resources for physical and emotional wellness. The company’s senior managers started hosting small group check-in events with junior bankers to start internal dialogue.
©2021 Bloomberg L.P.