Wall Street Bonuses Likely to Tumble, Job Cuts to Start in Late 2020: Report

Only traders and investment bankers who work in underwriting are likely to receive bigger bonuses in 2020, compared with 2019, according to the report…

Layoffs could begin at traditional asset management firms and investment and commercial banking divisions later this year or in early 2021, as banks struggle to make a profit as the pandemic suppressed client activity and threatens to cause loan defaults.

Alan Johnson, author of the report, has said that layoffs this year could be significant. Companies were forced to make quick decisions and cut red tape during the pandemic, and they have recognized fewer employees are needed to do certain jobs, Johnson said.

Reuters / August 10, 2020

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