Goldmine at Goldman's

Feb 13 2006 by Brian Amble Print This Article

Wall Street giant Goldman Sachs has become the first major investment bank to reveal that the average salary for its staff has topped half a million dollars.

The figure, reported in the Independent on Sunday, was disclosed in the company's latest regulatory filings, which also revealed that it paid out $11.7bn (£6.7bn) to its 22,425 employees last year.

Hank Paulson, the chairman and chief executive, was paid $38m in salary, shares and options - a 21 per cent increase on 2004. An average figure per staff member of $521,000 bursts through a barrier not even breached during the dot-com boom in 1999 and 2000.

This is a 12 per cent increase on the $466,000 average disclosed for 2004. It is twice the level of average pay at rivals Merrill Lynch and Morgan Stanley.

Wall Street banks are paying out a record $21.5bn in bonuses for 2005, according to New York State figures. That dwarfs 2004's $18.6bn and tops the previous record of $19.5bn in 2000. The average bonus in 2005 was $125,500 - some $25,000 more than in 2000.

Independent on Sunday | $521,000: The average pay of Goldman Sachs employees ­ and that includes secretaries