Compensation Plunges At Goldman, 4% Of Workforce Gets Canned

As we already noted, Goldman turned in an ugly Q3 earnings report.

One sub-factor you’ll be interested in knowing about. Compensation collapsed.

The accrual for compensation and benefits expenses (including salaries, estimated year-end discretionary compensation, amortization of equity awards and other items such as benefits) was $1.58 billion for the third quarter of 2011, a 59% decline compared with the third quarter of 2010. The ratio of compensation and benefits to net revenues for the first nine months of 2011 was 44.0%. Total staff levels decreased 4% compared with the end of the second quarter of 2011.

Bad news for NYC tax revenues.

Watch below: The Highs And Lows Of The Busiest Day In Earnings This Season

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at