According to an estimate provided by New York State Comptroller Thomas DiNapoli, the cash bonuses that were given out on Wall Street decreased by 2% to an average of $176,500 in the previous year.
This was due to the fact that financial firms adopted a more conservative approach to remuneration. Despite the fact that the industry's profits increased by 1.8% in 2023, the payments were reduced.
"Wall Street's average cash bonuses dipped slightly from last year, with continued market volatility and more people joining the securities workforce," according to a statement released by DiNapoli.
According to DiNapoli, the state and the city have already prepared their budgets to account for low tax revenue from financial professionals. About 27 percent of the annual state tax collections are attributed to the securities business, while seven percent are attributed to New York City.
According to the report, the number of persons employed by the industry increased to 198,500 in 2023, from 191,600 the previous year. The growth in headcount occurred at a time when big banks in the United States had eliminated more than 23,000 jobs around the globe.
During a call with reporters, DiNapoli stated that employees who were let off did not leave the workforce and were hired by other companies.
This was in contrast to the situation in which certain businesses lowered their staffing levels. "So far this year, the markets have been pretty positive, and we hope that will continue," he said in conclusion.
According to the data from the comptroller, almost one out of every eleven employment in New York City is either directly or indirectly involved with the sector for some reason.
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