Investment bank Morgan Stanley says it swung to a profit in the fourth quarter. Shares jumped in pre-market trading. The bank earned $867 million after stripping out an accounting charge. That's up from a loss of $374 million in the same period a year ago.
What do American workers want for Christmas from their employers this year? Glassdoor knows. The online "jobs and career community" had American workers surveyed, and unsurprisingly, discovered that "cash" tops the list.
With unemployment still high, late mortgage payments rising, and the number of Americans in poverty at record levels, it seems that Main Street is headed for a hard, cold holiday season. But, somewhat surprisingly, so too are the fat cats of Wall Street -- relatively speaking.
To wrap your head around how much someone like Larry Ellison makes, try comparing his compensation to the median income of an American household -- $49,777. His 2008 take of $543 million is the equivalent of the annual earnings of 10,908 average American families. Got that?
Recession-weary workers may finally get some encouraging news: Private-sector annual wages will improve in the coming months, albeit modestly, according to data compiled by BNA, publisher of Daily Labor Report.
Though most Americans wish that Congress would rein in excessive pay on Wall Street, that won't happen while the huge campaign contributions keep flowing. And the financial industry's big money shell game drains away something more precious from our society than money -- it siphons off talent.
As Bank of America continues to cope with fallout from the housing and mortgage crisis, the financial institution may have to pay some year-end employee bonuses in the form of stock because of a possible cash shortfall related to its buy-back of stock from the federal government.
Pay on Wall Street is on pace to break a record high for a second consecutive year, growing an average of 4% in 2010 at the 35 top financial institutions and rising faster than revenues.
Wal-Mart Stores, the world's largest retailer, is ending its 39-year-old policy of automatic profit sharing for employees. It's replacing the bonuses with retirement benefits which could increase employees' total compensation, but employees are only eligible if they pay into their plans.
While Main Street struggles, Wall Street uncorks the chompers. Its employees saw their bonuses increase by 17% in 2009, according to new estimates. But there's a hitch: Bonuses for top executives will come in stock options and other forms of deferred compensation -- not cash.
Rabble-rousing musician Billy Bragg is urging U.K. citizens to withhold their taxes unless the government stops the Royal Bank of Scotland from awarding $2.4 billion in bonuses to its bankers. After a bailout, RBS is now government owned.
