Nomura Joins Wall Street Rivals in Boosting Pay for Juniors
(Bloomberg) -- Nomura Holdings Inc. is raising the salaries of its entry-level bankers to $100,000, the latest lender to boost pay as the industry struggles to retain junior talent that has been inundated by deal flow amid the work-from-home grind.
The Japanese brokerage will introduce the pay bump in July, according to a person with knowledge of the matter. The move aligns it to banks including Bank of America Corp., Barclays Plc and JPMorgan Chase & Co.
Wall Street is trying to ease the burden on younger bankers, traditionally the engine room of investment banks. A presentation from a group of Goldman Sachs Group Inc. analysts thrust the issue into the fore earlier this year when it shed light on their 100-hour weeks and declining physical as well as mental health.
|Lender||How they boosted pay|
|Bank of America||Pay raised by $10k for analysts and by $25k for VPs and associates|
|Barclays||Pay raised by $15k for U.S. analysts and by $25k for U.S. VP and associates, raising 1st-year analyst pay to $100k|
|Citi||Pay raised by $15k-25k for juniors, raising 1st-year analyst pay to $100k|
|Houlihan Lokey||Bonus of $10k to U.S. analysts|
|JPMorgan||Pay for 1st-year analysts increased to $100k|
|Moelis||Allowance of $10k for juniors|
|Nomura||Entry-level pay raised to $100k|
|UBS||Promotion bonus of $40k for analysts|
|Wells Fargo||Bonus of $10k for analysts and $20k for associates|
The race to boost pay for juniors has pushed the salary of first-year analysts at several banks up by $15,000 to reach about $100,000, reporting by Bloomberg News show. That puts Nomura’s decision, which was first reported by Financial News, in line with the industry.
As well as boosting compensation, some lenders have also introduced policies in recent months that include restricting weekend hours and mandating vacations.
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