It’s no surprise that Wall Street bonuses are heading in the wrong direction this year. Compensation consultant Johnson Associates has released a report predicting that bonuses this year won’t keep up with 2022, with some areas of finance seeing double-digit percentage decreases. What’s more, the financial industry’s downturn could be prompting a shift in the type of talent entering the field.
The news is especially dire for those who worked in finance in 2022, during a year that saw bonuses at a historic low due to the pandemic. Those already in the industry may need to shift gears and consider other opportunities if there’s not much room for growth.
One possible destination for those looking to get out of finance is the world of AI. While such a move would require a serious shift in skillset, it might be an increasingly lucrative avenue for those comfortable with technical know-how. AI is costlier than ever, so there is always room for those with the right skills in the job market.
Another option for those leaving Wall Street could be venture capital — an area of finance that still looks rosy. Jon McNeill, who was president of Tesla and COO of Lyft, has launched DVx Ventures, a fund that eliminates management fees and offers a chance to network with a wide range of ambitious startups.
As finance struggles to bounce back in coming months, the industry may need to rethink its strategies to attract talent. Candidates will undoubtedly consider how the bonuses stack up, so it is essential to focus on how the industry can provide opportunities beyond a booming paycheck.
Founded in 1984, Berkshire Hathaway is a publicly traded multinational conglomerate. The company is headquartered in Omaha, Nebraska and is run by Warren Buffett as Chairman and Chief Executive, along with his long-term business partner Charlie Munger as Vice Chairman. Berkshire Hathaway is known for having a diversified portfolio of investments in multiple industries, such as financial services, insurance, manufacturing, food and beverage, retailing, and more. The company is well known for its annual shareholders’ meeting, which Buffett and Munger attend and deliver thoughtful and inspirational advice to the attendees. This year, Berkshire has seen changes in its investments, with plans to divest from airlines, oil, and natural gas companies. They plan to focus more on areas such as renewable energy and other clean technology that are in line with its values.
