The good news– as James Gorman promised, you get to keep your jobs! The bad news– you’re quite possibly getting nada at bonus time. Nada not as in “shitty compared to Goldman,” nada as in zilch, zero dollars.
While Morgan Stanley is sticking to Gorman’s promise not to make any redundancies, it appears the axe may be hovering not above jobs but bonuses, specifically those of new recruits who have failed to deliver.
If you’re wondering if Morgan Stanley is trying to send a message by not paying you, or if you’re just being paranoid, the answer is yes, they’re sending a message and hoping you’ll take the hint.
“There’s a lot of disappointment at Morgan Stanley with some of the hires that were made,” alleged the headhunter. “Some people are going to get zero bonuses in the hope that they clear out and make way for upgrading in 2011.” (Fact: Zero bonuses are often nicknamed ‘doughnuts”).
“Morgan Stanley’s still underweight in a lot of areas,” said another fixed income headhunter. “But there will be clear signs this year to the people there who are not up to par. You’re going to see a lot of zeros.”