Deutsche Bank has bolstered pay for its junior bankers, the latest large investment bank to increase salaries amid a battle for talent.
The German lender has raised pay for first year analysts within its origination and advisory unit in the US to $100,000, according to a person familiar with the matter, and to $105,000 for those in their second year, putting Deutsche in line with Wall Street peers.
US-based analysts being promoted to associate will be paid $150,000, an increase of $25,000. Similar percentage increases will be applied to analysts and associates globally. The move will bring the bank in line with its rivals, and allow it to remain attractive to talent in a competitive job market, the person added.
Juniors will be officially informed of the pay rise on 4 August, but the salaries will be effective from 1 July.
Banks on Wall Street have been hiking junior pay in recent weeks in a bid to stem a potential exodus of talent. JPMorgan, Barclays, Citigroup and Nomura have all increased pay for entry-level roles to $100,000, Financial News has reported.
Deutsche’s pay rise was first reported by Bloomberg.
The salary increases follow one-off bonuses and perks including holidays at boutique Houlihan Lokey, and subscriptions to a Peloton bike at Jefferies.
Banks are reacting to a leaked presentation by a group of Goldman Sachs analysts who outlined declining mental health amid 100-hour weeks, exacerbated by record deal flow and working from home arrangements during the pandemic.
Goldman has yet to unveil pay rises for its juniors, instead focused on increased recruitment and automation of certain tasks.
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