Bob Diamonds aren’t forever, nor are other well-paid senior finance jobs. And they may never be again.
Big banks, hamstrung by strict capital requirements, low trading volumes and a waning market for big deals, have cut roughly 160,000 jobs since the beginning of last year, with hundreds of thousands more to come, according to Reuters.
In this banking job recession, it’s not just lower level grunts losing their jobs, but also high paid managing directors. With rival banks unwilling to meet their salary demands, many elder statesmen are being forced to leave the industry all together.
"At MD level, it is tougher to accept smaller jobs, and they do not have the same drive and ambition as the young bankers who have just graduated," Zaheer Ebrahim at recruiting firm Kennedy Group told Reuters.
Of course, Wall Street was never a place for a long career for most professionals. The mantra, even 20 years ago, was to put in 15 years of painstaking work, make great money and then retire from the industry when you become too expensive to maintain.
Either that or become chief executive, where you are the one cutting pricey talent.
Write to Beecher Tuttle at btuttle@efinancialcareers.com
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