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Wall Street pay rises as banks log profits

NEW YORK, April 26 -- First-quarter money being set aside by U.S. financial firms indicate employee compensation is rebounding to post-crisis levels, filings show.

A New York Times review of the latest financial statements from the country's largest financial institutions reveal $36 billion is set aside for employee salaries and bonuses -- a level comparable to 2007, the last year before the economic crisis, the newspaper reported Sunday.

The reason is the rebound in bank profits seen this year, the newspaper said. Investment bank Goldman Sachs, for instance, which nearly halved its employee compensation last year, has set aside $4.7 billion for worker pay in the quarter. Carried through to the end of the year, the compensation would add up to average pay of $569,220 per worker, the Times said.

JPMorgan Chase, meanwhile, has reportedly earmarked what would total $138,234 on average for workers companywide, while employees in its trading and investment banking unit would be on track to earn an average of $509,524 over the year.

"Like everything on Wall Street, they're starting to sin again," Brad Hintz, an analyst at Sanford C. Bernstein, told the Times. "As you see a recovery, you'll see everybody's compensation beginning to rise."

Copyright 2009 by United Press International.

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