Discover your dream Career
For Recruiters

More Pain On the Way For Early '09

Job opportunities and compensation are set to contract further after the New Year, leading consultants predict, and finance departments probably won't get a pass this time around.

That represents another somber note for current and former Wall Streeters looking for refuge in the corporate sector.

The media gave boatloads of ink last week to outplacement firm Challenger, Gray & Christmas' prediction that more than 1 million jobs would be cut in 2009. While the figure is dramatic, the U.S. already lost well over 1 million jobs during 2008. A separate report from Watson Wyatt found that 23 percent of employers surveyed in early December said they plan layoffs in 2009.

More interesting, however, are various granular details in the Watson Wyatt report. As related in a CNNMoney story, 19 percent of respondents planned to freeze salaries in the the next 12 months, and another 13 percent had already frozen salaries. Three months ago, those figures came in at just 12 percent and 4 percent, respectively.

A majority of employers, 61 percent, planned to "revise" budgets for merit raises - nearly triple the number from October's survey. While CNNMoney's story is doesn't specify direction, it's probably safe to take "revise" as a euphemism for "reduce."

These changes are expected to play out in coming months. And the broad swath of cost-cutting measures is a strong indication that employees in corporate treasury and finance departments will bear their share of pain.

author-card-avatar
AUTHORJon Jacobs Insider Comment

Sign up to Morning Coffee!

Coffee mug

The essential daily roundup of news and analysis read by everyone from senior bankers and traders to new recruits.

Boost your career

Find thousands of job opportunities by signing up to eFinancialCareers today.
Latest Jobs
Selby Jennings
Middle Office Analyst
Selby Jennings
Chicago, United States
Director, Financial Planning (Personal Wealth)
Thinkfind
Fort Worth, United States
Larson Maddox
Patent Litigation Associate - Leading IP Practice
Larson Maddox
San Angelo, United States
Larson Maddox
Fully Remote - Employment Special Counsel
Larson Maddox
North Platte, United States
BNY  Mellon
Associate, Syndicated Loan Trading Administrator II
BNY Mellon
Pittsburgh, United States

Sign up to Morning Coffee!

Coffee mug

The essential daily roundup of news and analysis read by everyone from senior bankers and traders to new recruits.