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“There are going to be a lot of people who are down 50%,” Alan Johnson, managing director of the namesake firm, said in an interview. “What’s unusual about this is that it comes so soon after a terrific year last year. That, plus you have high inflation eating into people’s compensation.” “We will have layoffs…

“It’s been a real shock,” Alan Johnson, managing director of the firm, told me. “I don’t think any of us really appreciated how much the pandemic stimulus created a bubble … now the lights have come on and it’s a little ugly.” Of course, Johnson says, these firms are still very profitable. “They went from…

Tough times this year and a “mediocre” outlook for 2023 will prompt investment banks to cut 5% to 10% of their staff and reduce compensation for those who remain, said Alan Johnson, managing director at compensation consultancy firm Johnson Associates. “They are not going to pay as well,” said Johnson. “People are putting lists together…

“With this steep decline in revenues, there will be lay-offs. Some have already quietly started. And we predict that it’s going to precipitate [accelerate] into the end of the year,” said Chris Connors of Johnson Associates, a pay consultancy in New York. Mayo said M&A advisers are less likely to get axed as companies are…

Poor first quarter results would currently lead to a 5-10% fall in bonus payouts at commercial banks, according to research from Wall Street compensation consultancy Johnson Associates featured in an S&P Global Market Intelligence report. The dip comes as a result of global economic factors such as the Russian invasion of Ukraine, rising interest rates,…

Based on first-quarter revenue and cost trends, incentive funding at major investment and commercial banks is expected to fall by 5% to 10% in 2022, with investment bank underwriting desks seeing declines of up to 40%, Johnson Associates has estimated. Lower revenues will be the main driver of direct decreases in incentive pay, but inflation…

“For the first time in decades, inflation has a significant impact on real compensation outcomes,” according to the report. The consumer price index rose 8.5% between March 2021 and 2022, and rising interest rates are putting the brakes on corporate deal making. The latest figures reported by Johnson represent a dimmer outlook for the year…

Last year was an unprecedented bonanza for Wall Street bankers — and it was fun while it lasted. Bonuses for bankers at big financial firms — which hit record highs in 2021 amid a rash of big deals and a dire talent shortage on Wall Street — are expected to drop as much as 40%…

Equity capital markets dealmakers are likely to see the biggest drop in bonuses this year, according to the latest survey by Johnson Associates, while most business lines are set to for a sharp decline compared to 2021, when deal fees surged to a record $130bn. Bankers working on M&A transactions could see drops of up…

Excluding the impact of inflation, bonuses paid to professionals in traditional asset management firms are projected to fall by 10% to 15% by year-end 2022 compared with the prior year-end, due to assets under management and revenues falling on “market decline and moderate outflows as clients de-risk,” the report said. For professionals at mega-size private…