Goldman Sachs Group Inc. is boosting the pay of junior staff in its sales, trading, research and asset management divisions as the wave of pay rises spreads beyond investment banking, according to Financial News.
Goldman Sachs will pay starting salaries of $110,000 in these units, up from $85,000, while second years will receive $125,000, Financial News reported, citing people familiar with the matter. The boost applies largely only to front office staff.
Compensation changes are sweeping the industry, with firms across Wall Street raising pay in investment banking divisions this year after analysts at Goldman Sachs shone the spotlight on grueling hours and sparked concern for the mental and physical welfare of juniors.
Goldman previously increased starting salaries in its investment banking division to $110,000. This boost was matched by other banks with Jefferies Financial Group Inc. and Guggenheim Partners offering the same amount and Evercore Inc. raising the stakes to $120,000 as the race for talent heats up.
Other banks such as JPMorgan Chase & Co. and Bank of America Corp. have already increased pay for analysts in sales, trading and research in line with their investment banking arm.
This article was provided by Bloomberg News.