While everyone else is struggling and the US economy is going nowhere, the big news is that the bankers on Wall Street are now making more money than they did last year. As reported here, the pay doled out by Bank of America, Citigroup, Goldman Sachs, JPMorgan Chase, Morgan Stanley, US Bank, and Wells Fargo is set to reach a combined $156 billion in total compensation. That's 3.7 per cent up on last year's record breaking figure.
Employees at Goldman Sachs, which reported its second quarterly loss of 2.48 billion during the quarter, will receive an average payment of $362,862 in compensation. The average pay in America is $31,244.
These soaring pay levels come despite all the lay offs on Wall Street. Forbes reports that 1600 employees at Morgan Stanley will lose their jobs in the first quarter. Morgan says the job cuts, which represent 2.6 per cent of its 62,648 employees, will affect all staff levels and geographic areas.Bank of America plans to cut about 30,000 jobs by the end of 2012 and Citi recently confirmed plans to wipe out 4500 jobs. The numbers coincide the Occupy movement, politicians and others continue using the high pay on Wall Street as an example of the growing levels of income inequality in America. Clearly, it's getting worse.
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