Report: UBS Boost Fixed Pay by Average of 9%
With the news that UBS is to boost base salaries for some of its bankers and traders, some City of London employees might have one eye on their pay packet.
The Swiss bank will increase fixed pay for employees in its advisory and trading business by an average of 9%, according to reports today. For some UBS employees the pay hike could mean a salary increase of as much as 25%, Dow Jones Newswires reported.
These increases do not mean that the total compensation for a banker goes up, only the fixed part.
The Swiss bank implemented the change to compensate staff whose salaries were "below market levels", Dow Jones reported.
Data from peer-to-peer salary benchmarking platform Emolument, which aggregates pay data from its users to produce average pay statistics in London's banking industry, provides a snapshot of how some employees at UBS could benefit from the hike.
The website, which was founded last year, enables users to compare their salaries against industry averages. It calculates an average base salary for various levels of seniority in UBS's investment bank (see chart).
A managing director in corporate and investment banking at UBS currently earns about GBP 252,000 on average, according to data compiled by Emolument over the past six months.
Applying the average increase of 9%, fixed pay for a managing director could be increased to GBP 274,680.
According to Emolument, a managing director in UBS's debt capital markets business earns GBP 283,333 in fixed pay on average. Analysts in this business line in an entry-level role earn about GBP 50,000.
A director in mergers and acquisitions advisory at the Swiss bank earns abou GBP 157,143 on average, according to the data provider. Meanwhile a managing director in corporate equity derivatives earns about GBP 220,000 in fixed pay on average.
UBS declined to comment on the Emolument figures.
This article was originally published at E-Financial News.
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