We all know what is going on in the news with the occupy Wall St. and Occupy (City) protests. Essentially everyone wants a hand out, screaming it isn't fair that these people (in the financial sector) are making so much money. The protesters want them to spread the wealth. There are two sides to their story: the lazy fuck heads that don't want to work for shit and still get handed everything they want and the honest hard working American that has truly been dicked over by a few bad apples in the financial sector. But I digress, my position is that the mess we are currently in is about 95% our government's fault and this post isn't really about whose fault this is.
My question is why are we having protests around the country (specifically in NYC) where these jobless nut-bags are attacking hard working individuals in the financial sector? I have a friend that works at DB in NYC. He has told me stories about some of these people attempting to verbally attack him for wearing a suit and having a job. He has worked hard to get where he is and he deserves everything he has.
So, here we are. We have now gotten to a point in the country where the hard working 20 something iBanker is the focus of hate for these people who are blindly protesting. The kid makes 75K +bonus living in NYC. He has two roommates because of the cities cost of living. He is hardly living the Blankfein lifestyle.
So this brings me to the real question: Why is someone like him who works 100+ hours a week and really doesn't make that much when you look at his diluted income paired with the cost of living taking the brunt of the hate while we have continued to support the outrageous salaries of professional athletes? Why are professional athletes not the ones being protested against especially with the recent NFL lock out and the current NBA lockout?
The typical iBanker analyst salary on WS can be anywhere from 65-80K depending on the firm and group. Added to that is a bonus that fluctuates with firm, group, performance and health of the firm and economy. We are talking under or up to 100K for someone that works 100+ hours a week, every week for two straight years.
The current league minimum in the NFL is $375,000 for a first year athlete. This is someone that really offers no value other than being on the practice squad.
http://www.steelersdepot.com/2011/07/2011-2014-nf…
There are currently active contracts in the NFL for 100 million dollars.
The league minimum in the NBA is $473,604.
http://www.insidehoops.com/minimum-nba-salary.sht…
There are currently players in the NBA making making upwards of 10, 15 and 20 million dollars a year.
The current minimum salary in the MLB is $414,000
http://mlb.mlb.com/pa/info/FAQ.jsp#minimum
The highest paid player in the MLB is making 32 million a year. There are multiples athletes making upwards of 15 million year and the league average is over 2 million a year.
These are salaries without including any sort of endorsements, which we all know can really knock an athletes total income out of the park. I don't see iBankers getting asked to endorse Nike and getting a 100 million dollar contract.
These are the three biggest professional athletic leagues in the country. You can see that every player is essentially making more than most people in the financial sector.
Let's take a quick second to look at the salary history of Brian Scalabrine. Current Chicago Bulls bench warmer. So god awful they won't even let him dress for games. He simply sits on the sideline wearing a suit, adding no value to anyone. He is not even injured. I say this as an avid Chicago Bulls fan. Mr. Scalabrine cleared over 1 million for the 2010-2011 season alone.
2001-02 New Jersey Nets NBA $332,817
2002-03 New Jersey Nets NBA $512,435
2003-04 New Jersey Nets NBA $800,000
2004-05 New Jersey Nets NBA $900,000
2005-06 Boston Celtics NBA $2,586,207
2006-07 Boston Celtics NBA $2,793,103
2007-08 Boston Celtics NBA $3,000,000
2008-09 Boston Celtics NBA $3,206,897
2009-10 Boston Celtics NBA $3,413,793
2010-11 Chicago Bulls NBA $1,229,255
Career (may be incomplete) $18,774,507
The man has made almost 20 million dollars in ten years for doing nothing. Yet I don't see anyone lining up outside his house, or the Chicago Bulls headquarters to protest.
I would love to hear everyone else's opinion on this subject.
Because people don't want to watch an analyst make models...
/troll
^ lol to the power of 6
People have this perception that people in finance don't work hard for their money, and that they don't deserve it. I worked at a very blue-collar place and dealt with the "oh you want to be one of them" sentiment working my way through college. I think some of the hate and distrust is justified with recent events in the news, but people feel very differently about pro-athletes vs. wall streeters. People don't understand capital markets or how wall street does benefit main street, but everyone in the country sits on their fat ass and watches sports. So a lack of knowledge on the financial sector is also the problem.
-deleted- posted in wrong thread
Professional sports leagues never played a major role in cratering the global economy...and they sure as shit never got a bail out.
"durrr, they hate us cuz we make money!"
Die.
The may have never gotten a bailout, but their billion dollar stadiums were sure as hell financed by tax payer dollars.
Then we have to weigh the taxpayer dollars spent versus jobs created and value added to the city.
The difference there is almost all of the tax increases for stadiums are voted on. The City of Arlington paid $325 million for JerryWorld. With all the events that they've had there already, they've probably already made their money back on that.
^ Also have to factor in the publicity that those stadiums bring to small business around the neighborhood and overall to the city and state they play in. Look what happened to Cleveland before during and after Lebron. That city lived off this man and everyone also know that to even be in shape to play with these guys is tremendous work and they know that they couldn't even finish their high school workouts, how the hell can they stand to do drills with Ladamian Tomlinson who made, a still in college, Reggie Bush throw up?
When it comes to salaries of athletes, you have to treat it like a private partnership. They only split the income they make within themselves. They don't ask for bailouts and subsidies. The players make a percentage while owners make their own. When it comes to Brian (the great white hope), he sucks in the NBA but he will school anybody you know thats not in the NBA. The worst players in the PRO is ten times better then your college all stars that never made it in. Athletes deserve what they make. They worked for it and are now benefiting from that. You questioning their right to make that money is like you questioning Activision for Selling an modern warfare 3 for 69 dollars....Its what the market is willing to pay....thus why players weren't making that much in the 70's because the market wasnt willing to pay that much.
Can the same not be said for the guy in the financial sector that worked hard, went to a good college, paid for said college, got a good job, busted his ass at 100+ hours a week for 2-3 years, got his MBA and paid for it, came back and continued to bust his as an associate all the way to VP, and then MD and is now being labeled as a crook?
The issue people are saying is not how much the finance sector is paid, but rather that they are still paid that much AND recieving government money. OWS idealogies aside, the financial sector IS operating with a degree of moral hazard but also are massive wealth creators.
All right, so let's focus on that point. Government aid aside, aren't the continued high salaries and high bonuses almost equal to the recent NFL lockout and current NBA lockout? Can't these lockouts be viewed as greed?
i understand. I just mean that they arent involved with what cause this recession beside been on the same side of the consumer.
yessss. On that point it is greed but also realize that Owners are trying to bring about a system where they can control a players career and income fully. The players make the league what it is while the owners manage it so the talent should always be paid more cause their income time slot is limited. It does all boil down to greed though so i do agree but that has nothing to do with anything. Wall street has shown a lot more greed, look at out boy from MF Global!!!
Coz atheletes have something called "talent"; the average iBanker has none of that!
Relative to his surroundings, Brian Scalabrine does not have talent.
Neither does Tebow.
The sin of the few is paid by the masses. You know why people are mad and thats ok. They have the right to be angry. All we can do is focus on been better.
You can't use Brian Scalabrine as your example. That guy got paid a $1.6mm premium between the 04-05 season and 05-06 for being a red head on the CELTICS.
He was the mascot. Don't knock the guy for basically holding down 2 jobs.
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