Goldman Sachs 'reducing London paychecks'

26 August 2011

Goldman Sachs Group is to recall the pay rises it handed to its London employees in 2010.

The bank has reminded those based in England's capital that the temporarily higher wages it provided last year are due to expire in 2012, the Wall Street Journal reports.

It means those working for the lender in the city will see their salaries brought down so they fall in line with the pay structure of employees stationed elsewhere in the country.

An individual with knowledge on the matter said those likely to see their pay cut at the beginning of next year include mid-level workers such as investment bankers, asset-management personnel and those involved in sales and trading.

Partners and other high ranking employees at the lender - which aims to always put its client's interests first - will not be affected by the reductions because their pay was not increased in 2010, the source said, adding the wage rise "was always intended to be temporary".

By Tony Aynsley

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