Credit Suisse Bank.
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A Wall Street firm may have found a solution to the misfortune of overworked junior bankers in a boom in business: money.
Credit Suisse executives announced to middle and entry-level investment bankers on Wednesday that they will be receiving special bonuses of $ 20,000 in the second quarter and that people below the executive level will not be allowed to use them, according to people aware of the changes , can also expect salary increases.
The move by Credit Suisse, one of the world’s top ten merger advisors, is Wall Street’s latest attempt to address concerns that junior bankers are overworked and underestimated during a surge in capital market activity. Last week, a deck created by first year analysts at Goldman Sachs detailed the brutal working conditions that year, including 100-hour work weeks while working from home, which sparked a response from CEO David Solomon .
On the day this story broke, New York-based investment bank Jefferies told its analysts and employees – the bottom two levels in the Wall Street hierarchy – that they could choose gifts like Peloton exercise machines and Apple products . Yesterday Citigroup CEO Jane Fraser banned internal video calls on Fridays and introduced a company-wide holiday to tackle employee burnout.
At Credit Suisse, the $ 20,000 bonuses have been referred to as “one-time cash lifestyle allowances” and are aimed specifically at analysts, employees, and vice presidents of the capital markets and the bank’s advisory group. The upcoming raises are aimed at both those with these titles and directors. This is the level directly below the Managing Director of Credit Suisse.
As part of the changes, the company also said it will relax its dress code when employees return to the office, according to Business Insider, who previously reported on the move. Zurich-based Credit Suisse has advised on mergers totaling US $ 112.5 billion this year, according to Dealogic.
“Credit Suisse’s capital market and advisory management team recognizes the efforts of our employees and would like to reward them who have not only managed to support our clients with an unprecedented volume of business, but also to increase our market share,” said a spokeswoman for the bank in an email statement.