Where Did Employees from Collapsed Banks Go?
By Barry Ritholtz - February 24th, 2010, 2:30PM
Where did all the people go from the collapsed financial institutions?
Via Linked In, we get the semblance of an answer:
One hypothesis is that many of the employees left the financial industry. According to the LinkedIn data set, that just isn’t true. There are a handful of people that did transition to other industries and start new careers, but most stayed in the financial space. To be specific, other than two acquiring companies (Bank of America acquired Merrill Lynch and Nomura acquired Lehman Brothers’ franchise in the Asia Pacific region), Barclays was by far the biggest beneficiary, scooping up 10% of the laid off talent, followed by Credit Suisse at 1.5% and Citigroup at 1.1 %.
Here’s a chart:
Hat tip Paul
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February 24th, 2010 at 2:36 pm
“Talent… I do not think that word means what you think it means.”
Schadenfreude aside, do you have any idea what the overall UE numbers are for the financial services industry as a whole?
I recall reading (no source) a few months back that, while the general population was at 10% U-3 UE, financial services was only at 6%.
February 24th, 2010 at 2:52 pm
Hopefully the perpetrators in Mortgage lending that approved no doc loans and their accomplices who tranched them into AAA securities, have debunked to the 10th ring of hell.
I understand Dick Fuld is creating another con wherein he takes widows, orphans, and the infirm’s money and invests it in Chrysler private placement stock thru a connection with Nardelli, and has just signed a deal to act as Xe’s (formerly Blackwater) investment manger for the $150 Billion that has gone missing in Iraq.
February 24th, 2010 at 3:14 pm
flipspiceland: Hilarious about Fuld. So funny, it could almost be true.
All the folks I know that got bounced from financial services places wound up at places with a lot less pay than they were accustomed to. I actually got a narrow pay increase, but no more than I make, it’s really a negligble amount. Sams Club workers would notice, but that’s about it.
February 24th, 2010 at 3:21 pm
By way of homage to all those hardworking financial innovators who made America great, I like to sing or hum this little homespun ditty every weekday morning around 6:30 a.m. Pacific time, as I`m getting ready for work and the New York financial markets open for the day’s scamming, skimming, pumping and dumping … Sung to the lyrics of R.E.M.’s Shiny Happy People, famously known as the “#1 Wussiest Song of All Time” as voted by AOL Music voters:
Shiny happy Ponzi people
Meet me in the crowd
Ponzi people
Bulltards paw the ground
Ponzi, Ponzi
Markets up, not down
Happy happy
Real economy drowned
But banker bonus flows
Gold and silver shine
Shiny happy people pumping stocks
Shiny happy Ponzi people
CNBC says buy, buy it, buy it
Margined to the hilt
Oh shit, oh shit
There’s no time to cry
Happy happy
Look at those green shoots
Where tomorrow shines
Gold and silver shine
Shiny happy people going broke
Shiny happy Ponzi people
February 24th, 2010 at 3:25 pm
@ewmayer
I Lost My Religion when I was in the 4th grade. Now it”s Me in Honey
February 24th, 2010 at 3:28 pm
@ewmayer: Brilliant!
February 24th, 2010 at 3:31 pm
Well they didn’t go into the loan sharking business. As The Daily Show pointed out last night, loan sharks are more humane than most bankers:
http://www.thedailyshow.com/watch/tue-february-23-2010/make-it-rain—bank-of-america
February 24th, 2010 at 3:43 pm
@f411: That is classic.
February 24th, 2010 at 3:46 pm
According to the chart Goldman hasn’t hired from the bankrupt banks in any significant numbers? All the SMARTEST guys already working for GS, right?
February 24th, 2010 at 3:57 pm
@b_thunder: Don’t you mean “the smartest CRIMINALS”? There, fixed it for you.
February 24th, 2010 at 4:07 pm
“…scooping up 10% of the laid-off talent…”
I wonder how many of the “fat cats” in the financial services sector have “talent”, and how many were just in the right place at the right time when they got hired.
As in the movie “Trading Places” (1983), there are probably a lot of people who, if put in the right position, could do just as well as some of those millionaire 30-year-olds.
February 24th, 2010 at 4:13 pm
Agreed, DL. And GREAT film, BTW. A true classic.
Luck and circumstance play a huge role but far too many don’t want to admit that. ‘Tis human to think that we control more than we do.
February 24th, 2010 at 6:18 pm
@Mannwich Or perhaps tis human to think the we have far more talent than we actually do.
People are far more tribal and governed by primate behavior than we realize. The financial sector does not respond to normal market pressures. So we have this primate behavior squared
February 24th, 2010 at 7:08 pm
So with so much “Talent” from the street on the street, as it were, I wonder why we keep hearing that high bonuses have to be paid to retain “Talent”? In any other industry the normal forces of supply and demand would push down compensation.
February 24th, 2010 at 7:12 pm
ewmayer Says:
Shiny Happy People!
Oh My….that’s a good one…….
Thanks..
February 25th, 2010 at 2:58 am
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