Survey Finds Those Expecting Lower Bonuses Increased from 12% in January to 23% in March
34% are Less Confident in Job Security since Bear Stearns Bailout
NEW YORK, April 16 /PRNewswire/ -- A recent survey by eFinancialCareers,
the leading network of career sites for financial services professionals and
the firms seeking to employ them, found U.S. financial services professionals'
outlook on their 2008 bonuses has deteriorated over the last two months, along
with confidence in their job security as Wall Street's financial troubles have
eFinancialCareers conducted a survey in late March of more than 1,200 U.S.
financial services professionals, after conducting a similar survey in late
January. The number of respondents that expected their 2008 bonus to be lower
than their 2007 bonus swelled from 12 percent in January to 23 percent in
March. This change was driven mainly by a decrease in the number of
professionals who were previously unsure about their 2008 bonus which fell
from 27 percent in January to 16 percent in March. Also, respondents not
expecting a bonus in 2008 rose from 4 percent in January to 10 percent in
"While troubles in the capital markets have been making headlines since
the summer of 2007, the reality of the potential effects on 2008 compensation
are now really starting to resonate with financial services
professionals," said John Benson, founder and Chief Executive Officer of
The survey found there is still a degree of optimism on the 2008 bonus
outlook, which could reflect the diversity of financial services jobs.
Twenty-five percent of respondents expect their bonuses to climb this year
(vs. 27 percent in January), while 27 percent believe bonuses will be about
the same (vs. 30 percent in January).
Although 48 percent of respondents did not believe the bailout of Bear
Stearns will have an adverse impact on their ability to maintain their jobs,
34 percent are less confident in their job security, while 14 percent have
already lost their jobs.
"Over the first three months of the year, the number of resumes posted on
eFinancialCareers in the U.S. has nearly doubled versus the same period in
2007. However, those worried about job security and compensation can take
some comfort as hedge funds, asset management institutions and even investment
banks, are still recruiting talented professionals," Mr. Benson noted.
It appears recent events did not compel U.S. finance professionals to
either jump into the job hunt, or take themselves out of it. The percentage of
professionals intending to look for jobs in 2008 remained essentially
unchanged from the January survey with approximately 58 percent of March
respondents seeking new jobs in 2008. Seventy-two percent of those seeking a
job were already looking for a new position before the latest Wall Street
However, bonus dissatisfaction could be motivation for finding a new job.
In January, 54 percent said they planned to look for new jobs in 2008. Asked
whether their 2007 bonus was driving them to look for a new job, more than
half answered yes or partly.
eFinancialCareers' January survey of U.S. financial services professionals
found that contrary to media reports of widespread bonus cutbacks, more than
two-thirds of respondents reported an increase in 2007 bonuses compared to
2006. Notably, 19 percent reported their bonuses jumped more than 50 percent
compared with 2006. Another 9 percent reported receiving 31-50 percent more
than the previous year, while 17 percent received 11-30 percent more. Twenty-
one percent said their bonus declined from 2006, while 11 percent said they
received no bonus in 2007.
Respondents' total compensation for 2007 showed a median of $140,000 and a
mean of $205,158.
The January eFinancialCareers Bonus Survey was administered online
throughout the month with more than 1,600 registered U.S. eFinancialCareers
users responding. Registered users were invited to participate in the survey
through e-mail. The follow-up survey was administered online during the two-
week period subsequent to the bailout of Bear Stearns in March using the same
methodology with more than 1,200 registered eFinancialCareers users
For March and January comparisons, only respondents who indicated they
received a 2007 bonus were included. Inconsistent responses were removed from
the analysis and data presented.
eFinancialCareers currently lists more than 2,500 permanent, contract and
consulting jobs nationwide for financial professionals and more than 12,000
Table 1: Do you expect your 2008 bonus to be higher or lower than your
January 2008 March 2008
Higher 27% 25%
Same 30% 27%
Lower 12% 23%
Not sure 27% 16%
What bonus? 4% 10%
Table 2: Has the recent bailout of Bear Stearns and the news of Wall
Street's financial troubles changed your confidence in keeping your job?
I am more confident 4%
It has had no effect on my confidence 48%
I am less confident 34%
I've already lost my job 14%
Table 3: Do you expect to be job hunting in 2008?
January 2008 March 2008
Yes 54% 58%
Maybe 24% 20%
No 18% 15%
Not Sure 4% 6%
Table 4: How did your 2007 bonus compare to last year?
51+% higher 19%
31 - 50% more 9%
11 - 30% more 17%
0 - 10% more 23%
1 - 10% less 6%
11 - 30% less 6%
31 - 50% less 4%
51% less 5%
Received no bonus in 2007 11%
eFinancialCareers, a Dice Holdings, Inc. company, is the leading global
career site network for professionals working in the investment banking, asset
management and securities industries. The website provides financial services
professionals with job opportunities, job market news and analysis, salary
surveys and career advice. Recruiters and employers can post jobs targeting
specific sectors within the financial services industry, both buy-side and
sell-side, and can search the resume database for highly qualified and
specialized professionals. eFinancialCareers has a network of co-branded
career sites with industry-leading trade publications and offers local
websites in 14 markets and five languages across North America, Europe, the
Middle East and Asia-Pacific. www.eFinancialCareers.com
Stephanie Sampiere, 646-277-1222, firstname.lastname@example.org
Matt Lindberg, 203-682-8214, email@example.com