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Raises for all junior bankers, just not you, you and you

It started with Morgan Stanley. Then Goldman Sachs got on board. Soon, nearly every U.S. bank had made the same pledge to junior bankers: we’re going to pay you more for all those 100-hour weeks you’ve been putting in. Everybody wins! Oh, except those young U.S. bankers working at foreign firms.

Sources told the Wall Street Journal that Deutsche Bank and Credit Suisse are monitoring the situation, but are still noncommittal about increasing salaries for analysts and associates. While noncommittal is better than “no,” it’s not quite as good as “here’s a bunch more money.”

U.S. banks like Goldman, Morgan Stanley, Bank of America, Citi and J.P. Morgan are reportedly increasing base pay for junior staffers by between 20% and 25%.

Always one to preach about competitive compensation, Barclays will reportedly follow suit and pay its U.S. juniors the new market value. But it’s unclear whether the U.K. bank will extend that courtesy to EU bankers, according to the report.

A UBS source told the paper that the Swiss bank is content with its pay model and will likely keep salaries and bonuses at current levels. In fairness, UBS did just tweak its pay model for young bankers a year ago to stay competitive.

It will be interesting to see what foreign banks do in the coming weeks and months when it comes to pay. EU banks are hamstrung when it comes to paying large bonuses, but that wouldn’t prohibit them from upping base pay at the junior level.

But at the same time, banker pay is a much more volatile subject over in Europe than it is here in the States. The wrath of angry shareholders can leave quite an impression.

Seven Back Office Banking Skills You’ll Need by 2024 (eFinancialCareers)

How do you remain employable as a trade-support professional over the next 10 years? Here is a list of the banking skills for back office pros that will be must-haves by 2024, if not before.

How to Succeed as an Interim Manager (eFinancialCareers)

Your boss is taking an extended summer vacation, or maybe she’s about to go on maternity leave – either way your team needs an interim manager and that person is you. Here are some tips on how to pull it off.

M&A Match (BBW)

Want to seal a few M&A dealz while on-the-go? Now there’s an app for that. It’s like an online dating site, only instead of 35-year-old men who live in their mother’s basement, there are companies that are looking to be sold.

Conference Calls Can Be a Nice Respite (The Atlantic)

There are a few numbers in this study, but you really only need to look to its conclusion: NOBODY pays attention during conference calls.

Frats That Lead to Jobs (Business Insider)

Want your son to have a job on Wall Street? Try perusing these 19 fraternities that have proven ties to Wall Street. As we’ve written before, networking through one’s fraternity is one of the best ways to get an interview on Wall Street, as sad as that is.

When Really Good Goes Bad (WSJ)

Royal Bank of Canada just booked a strong quarter, but that’s kind of a problem. It’s capital markets division was so successful, it now contributes to too much of the bank’s profit machine, which breaks undermines RBC’s famous risk model.

Crossing the Fence (Bloomberg)

Former U.S. Commodity Futures Trading Commission member Bart Chilton, a longtime critic of high speed trading who once called HFT firms as “cheetahs,” has been hired on by a lobbying firm to help improve their image. Interesting.

Buzz Around the Office

What’s In a Name? (Newser)

A Virginia man named Paul Stoner was arrested for, you guessed it, marijuana. Not surprisingly, his mug shot looks exactly like a man named Paul Stoner who got arrested for growing pot.

Quote of the Day: “You’ve had a lawyer at the helm for the last four-and-a-half years to clear up legal issues, is he the right person to lead the bank for the next five years? It’s not quite clear he understands the strategy or operations as well as someone would need to.” – wave-making analyst Mike Mayo on Bank of America CEO Brian Moynih

AUTHORBeecher Tuttle US Editor

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