Goldman Sachs Group Inc. junior bankers get big raise.
The Wall Street company raises the base salary of its entry-level employees – first-year analysts – to $ 110,000, an increase of nearly 30% from the previous starting salary of $ 85,000, according to a person close folder. Second-year analysts are expected to earn $ 125,000, up from $ 95,000. Salaries for first year associates will increase from $ 125,000 to $ 150,000.
The bank plans to notify junior bankers of increases in base salaries, as well as the amount of their annual bonuses, later this week, the person said. The changes affect just over 1,000 employees worldwide.
Analysts and first-year associates do much of the tedious work that allows banks to close deals and take advantage of busy trading times. Their titles are based on their seniority at the bank. Responsibilities vary depending on their division – investment banking, capital markets, asset management, among others. Investment banking analysts, for example, may be asked to create slides detailing the financial impact of mergers and acquisitions.
It has been a difficult time for the younger workers on Wall Street. During the pandemic, many of the more junior investment bank employees worked for months without meeting their colleagues in person, and their first year on the job was one of the busiest on record for closing deals .