Wall Street bonuses to plunge 30%, layoffs likely as Covid-19 hits markets

Johnson did not estimate cuts to specific businesses, but he said headcount could be reduced by up to 10% and could include retail divisions

Wall Street bonuses will fall roughly 30% this year, and firms are considering layoffs to preserve profits during the coronavirus recession, according to industry insiders and bank executives. Alan Johnson, a compensation consultant whose predictions are closely watched by financial professionals, said on Wednesday that bonuses for 2020 could decline by as much as 40%, as the coronavirus outbreak hit markets hard and put millions of people out of work as non-essential businesses are forced to close.

With stocks gyrating, bond investors facing liquidity strains and underwriting and merger activity all but dead, Wall Street firms are likely to cut pay