While the bonuses of almost half of French financiers and bankers increased in 2013, they remain largely in the majority to be dissatisfied with the level of their remuneration!
The financiers, those eternal dissatisfied
2013 is still the year of exorbitant bonuses for financiers : in April, an efinancialcareers survey conducted among 337 financial professionals residing or working in France, reveals that 48% of them saw their bonuses increase between 2012 and 2013. On average, this bonus is 20,400 $ / month in France in 2013. In the same vein, 49% of the financiers declare having seen their fixed salary increase the same year.
And yet! Nearly two-thirds (61%) of French financiers consider their 2013 bonus to be below their expectations and 4 out of 10 (44%) say they are dissatisfied or very dissatisfied with their fixed salaries.
We talked about it last week, the bonus is the variable part of the salary of the financiers, indexed on the results of the bank. The good recovery of banking activities in 2013 was therefore naturally accompanied by a swelling of bonuses.
Why are the financiers dissatisfied?
First of all, it is in the nature of French to be dissatisfied, much more so than our European neighbors. Thus, only 27% of the financiers are dissatisfied in Germany, 42% in Singapore.
Then, the average bonuses in Paris are 3 times lower than those of London, which remains the champion in 2013. The City has not only delivered the highest bonuses in the world (about $ 96,600 / month) but also those in stronger progression (+ 30%)! Beside, the French have a small “feeling of injustice”, especially as the European regulation on the limitation of bonuses that comes into force in early 2015 will further limit the expansion of these remunerations.
Moreover, despite the sharp rise in bonuses, they remain well below those of 2008. The financiers hoped that they would be more “generous” in view of the good results of last year.
Finally, even in the very closed circle of bonuses, there are inequalities! A small handful of financiers have benefited from very large bonuses, which raises the average to $ 20,400 while half of the financiers who receive bonuses have a lower than $ 9,400.
The war of “talents”
The objective of bonuses is to reward performance, but also to retain talent in the competitive financial market. In search of ever higher pay, the financiers do not hesitate to consider changing companies: 40% say they are ready to find a new job this year.
And yet, who says new business does not necessarily say better compensation … Few are those who have the luxury of being able to consider leaving their job already very well paid by the times. That’s one more advantage to being a banker!