Salaries and bonuses across the City being slashed

PAY and bonuses across the City are being slashed as firms rein in excessive rewards, new research has shown.

Around 68 per cent of City professionals received a bonus for 2012, down from 82 per cent a year earlier, according to figures from recruitment firm Morgan McKinley. Salaries are also under pressure, with 36 per cent of City workers getting a pay rise compared with 47 per cent a year earlier.

The findings echo cuts by major finance firms, which have been slashing variable pay in response to public outrage over misdemeanours and squeezed profits.

Hakan Enver, operations director at Morgan McKinley Financial Services, said: “The underlying theme from all of this research is the culture change across the City which was synonymous for a long time with high rewards. Those receiving bonuses are now fewer in numbers.”