"Jefferies Group Inc. (JEF) (JEF) and Goldman Sachs Group Inc. (GS) (GS) led Wall Street’s largest securities firms in average compensation per employee at midyear, widening a lead over JPMorgan Chase & Co. (JPM) (JPM)
Jefferies set aside $870 million in the first six months of its fiscal year, enough to pay its 3,809 employees an average of $228,407. Goldman Sachs set aside $225,789 for each of its 32,300 workers. Average pay for the 26,553 people in JPMorgan’s investment bank was $184,989, or at least 18 percent less than Jefferies’s and Goldman Sachs’s reported figures. It was 10 percent less than both in fiscal 2011."
You might want to rethink your campus recruiting strategy, numi! Of course, it could just be that Jeffries is spiking pay to facilitate poaching of bankers from other companies…
Yeah, Jefferies definitely picked up a TON of talent during the economic downswing and seems to continue to do so. Based on my conversations with my classmates that are going into IBD as associates starting this summer, it really does seem that IB bonuses from Jefferies, William Blair, Evercore, and possibly among others seems pretty strong. These middle market banks also had a lot less exposure to the crappy assets and government hassle as the big banks in recent years, so I guess they’re in somewhat of a position of strength now…
Be careful with boom/bust cycles though. Barclays or Citadel also ran aggressive recruitment campaigns, only to fire a bunch of people later. They might just be using the current job market to get people at bargain rates, and then decide who they don’t need later. I don’t think this is the case for Jeffries, but who knows.