Wells Fargo bonuses down by 30%?!
Story from NYT Dealbreaker: Bonus Watch '19: Carnage At The Stagecoach
It appears that bonuses are being handed out at Wells Fargo, and judging from our email inbox, America's least-trusted bank is now pretty widely hated by the people who still work there.According to one tipster, "Wells Fargo bonuses released today. Associates and up. Down 30% across the board. Even hurting stub associates."
Says a second, "Bonuses announced here at WF. They are screwing us almost as bad as our clients. 30% drop. Morale in the shitter."
And yet a third puts it even more stark picture. "Absolute bonus carnage over here at the Stagecoach. Down 10-30% based on seniority. People shocked to see they also skimmed the new associates as well."
Any truth to this story? Seems crazy.
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I've been texting friends who are there. One said that on the annual results call, the CEO stated "After a year like this one, we don't deserve to have a bonus pool at all."
Never gets old. Find some pocket of the organization that did something bad/money-losing/criminal and use it as a pretext to slash bonuses for everyone else.
Generally true. Can't speak for Markets (S&T and CM), but in IB down 15-30%, often based on seniority. More senior got a higher % cut. Obv not true in every individual case, but as a general rule, yes. I work at Wells in IB, have been there for several years. People who lived through the crisis will say - worst year since 2008.
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Actually, only possible under a single scenario. Any financial institution with over 10% of total deposits cannot acquire another bank without special permission by the OCC/FDIC.
That's how WF bought Wachovia in the first place. Considering the credit culture and low L/D ratios, it is nearly impossible.
Magic 8 ball prediction: Regional bank picks off WF Securities
This is terrible and very sad for so many people - especially junior bankers down in the trenches working to death and trying to make some money for the first time in their lives. I feel for them...
WFC... wow... we'll take your talent - apparently you don't want it.
Help me Obi Wan Kenobi, you're my only hope.
You brats should be grateful that you have jobs. Stop bitching, ain't nothing worse than a banker bitch complaining about not being overpaid enough.
This comment should go over well......
Currently at Wells. Definitely feel bad for the analysts and associates who’s bonuses were cut. Less so for the more senior folks who were supposed to bring in deals but didn’t. The Investment Banks’s revenues were down 20% and lost market share. Don’t think we did a single material M&A transaction bank wide two years running. Unlike in previous years, this years bonuses were geared towards merit...imagine being an M&A banker getting a full bonus despite not doing anything for two years.
Jsantagata may be a troll but he does have a point. We have too many ppl for the limited revenues being brought in...need to rightsize.
It is amazing that there are otherwise rational people who still think they can will away the law of supply and demand. You cannot tell talented investment bankers that they should work for less money than they could make somewhere else because some idiot in a totally different business line did something stupid and "we're all in this together" or whatever.
Anyone who thinks bankers are motivated not with money but by making their organization more compliant (oh yay...) should run the idea by John Cryan or Antony Jenkins, both of whom have plenty of time on their hands for having had the same delusion.