Sayeed's departure doesn't augur well for Nomura bonuses

Along with other Japanese banks, Nomura is among the last in the industry to announce and pay bonuses. However, it's due to happen this week or next, and the untimely resignation of Sadeq Sayeed may not be a good omen.

Historically, Japanese banks - Nomura included - haven't been known for their generosity.

Sayeed scotched that reputation when he offered large guaranteed bonuses for two years to key hires from Lehman and promised to match the 2007 bonus pool for all other Lehman recruits.

Now Sayeed is leaving, guarantees are expiring, and ex-Lehman bankers have reason to feel apprehensive about this year's payments. It doesn't help that ex-Lehman employees at the bank were allegedly expecting to be informed of their bonuses around February, in line with Lehman's traditional announcement date, but this has apparently been delayed.

Jason Kennedy, managing director of search firm Kennedy Associates, says bonuses are likely to prove disappointing, although Nomura won't risk paying substantially below the rest of the market.

Sayeed's departure also raises issues over the influence of non-Japanese within Nomura. Although ex-Lehman people control many business areas in London, the Wall Street Journal points out that all the key positions globally are mostly held by Japanese men, based in Japan.

Nomura appears to have moved to temper this criticism with the promotion today of Jesse Bhattal, a non-Japanese, non-Asian, ex-Lehman banker to its main decision making committee. However, the arrival of one Lehman banker on the main board is unlikely to compensate for a subpar bonus round.