City market traders in some markets have seen their salary and bonus packages reduced by an average of 40% in the last year.
The Napier Scott Salary survey for bonuses awards for 2006 awarded in 2007 also shows that London-based managing directors received packages of £685,000, which is down by £290,000 on the previous year. This is compared to a managing director in Asia operating in exotic credit trading who would expect to receive £1,480,000. Wall Street traders, meanwhile, have seen the value of their packages slashed by an average of 60%.
Shaun Springer, chief executive officer at Napier Scott, said the international credit crisis has played a crucial role in these drops in salary and bonus. “The biggest falls in the UK occurred in the debt and credit markets. However despite these significant reductions there were still packages paid in the UK which were in excess of £1 million.”