Tag: Bonuses

Bonus Watch ’10: PwC Announces Across the Board Mid-year Bonuses

We reported last week about a rumor that PwC would be paying bonuses and making salary adjustments this December and we now confirmation of the bonuses, courtesy of an email from PwC’s Bob Moritz.

BoMot that thanks to a solid first quarter, the firm would like spread a little wealth around in the form of $1,000 bonuses for “client service and IFS” employees who were with the firm prior to June 30, 2010 and $500 bonuses for those hired after June 30.


The firm is letting employees choose their “recognition payment” from one of the four following options:

• Net payment of $1,000/$500 included in the December 15 pay cycle.

• iPad

• Visa gift card

• $1,000/$500 charitable contribution to the PwC Foundation in your name – Aka the PwC Human Fund

In addition, Roberto informed everyone that the spot and bonus pools are being increased across the firm. There was also the standard words of encouragement, repeated “thank yous” and whatnot. The email appears in its entirety below.

So, P. Dubbers – doesn’t look like a mid-year salary adjustment but it beats a sharp stick in the eye. Discuss your contentment or your undying resentment in the comments.

Recognizing your contributions
Thanks to your efforts in providing quality service to our clients, our first quarter results are showing a strong revenue increase year over year. We all should be proud of these results. We’ve supported one another, served existing clients and stakeholders at the highest levels of quality in an extremely competitive environment, and won new work–all achieved through delivering the PwC experience and the new brand promise!

Rewarding your efforts
Because your efforts helped us drive our results, we want you to share in the rewards. Last month I told you that we have taken the results of our top-line growth and have begun reinvesting in you through our holiday time off and celebrations, in-person training events, and more. To further acknowledge the role you have played in our success to date, every staff member–both client service and IFS–will receive an after-tax “recognition award.” Those hired prior to June 30, 2010, will receive $1,000. Those hired on or after June 30, 2010, will receive $500. We debated whether the recognition payment should be in the form of cash or a gift, and concluded that you should decide. So, every staff member can choose from one of the following:

An additional net payment of $1,000/$500 to be included in your December 15 pay period.

Order from several versions of the iPad (total value of iPad and gift card will depend on whether you’re eligible for the $1,000 or $500 gift award).

A Visa gift card valued at $1,000/$500 to use for the holiday season, vacationing , technology gadgets or anything you’d like to purchase for yourself or others.

We will make a $1,000/$500 charitable contribution to the PwC Foundation in your name.

More details to come shortly on each of the options above, as well as how to choose your recognition via a special website.

Increased bonus pools
In addition to the benefits we announced previously and the recognition award mentioned above, we have also decided to increase our spot and bonus pools across the firm, enabling us to better recognize and reward those individuals who are truly delivering for our clients and driving our results. As our top and bottom line continue to improve, we are committed to sharing those results with you. Shortly, you will be hearing from your LOS on how these increased bonus pools will be earned and rewarded over the remainder of FY11.

Increased hiring to help your workload
You’ve been working hard, and we recognize that monetary rewards and compensation are only part of the value you look for from your PwC experience. You have told us that personal and professional development, career advancement potential, peer and team relationships, and even having a little bit of fun along the way, are also important to you. We want you to know that we are also working hard to relieve some of your workload through our increased hiring efforts. In fact, to help lighten your load, we’ve hired more than 1,400 new experienced people in the first quarter alone (for comparison, we hired a total of 1,725 in all of FY10), increased our campus recruiting from last year and are bringing resources to our practice from around the world. Many of you played a key role in bringing in that new talent, whether referring people, interviewing potential candidates, or on-boarding new people. Again, we thank you for those efforts and encourage you to keep them up. We will continue hiring resources to support our current and future needs as we look ahead towards achieving our long term goals, while also providing appropriate work-life flexibility for you.

Thanks for all you do
Again, on behalf of the partners, I want to recognize you for all you do for your teams, our clients and other stakeholders. To me, this demonstrates the power of 30,000 people coming together to build relationships and add value for our clients and one another–delivering on that new PwC brand promise! The fact is, you are making a difference, and our collective efforts are paying off.

Join me on Wednesday!
I look forward to speaking with you on Wednesday at 3pm ET during our third firmwide Town Hall webcast. If you haven’t already, check out the blog and help your colleagues get ready to put me and the LOS leaders on the hotseat with your questions.

In the meantime, I look forward to continuing this journey of success together!

Regards,

Bob

Comp Watch: Early Returns at Ernst & Young Keeping Pace with PwC

So far there are several reports of low to mid-teens and some as high as 20%, which some simply don’t believe.

We do have some specific details for assurance associates in New York and they don’t sound terrible:

NYC first year associate went from $55k to $64k, associate raises [are] coming in around 11-18%


So if you’re keeping score at home (and we know you are) it appears that the partner at E&Y who prognosticated that raises at his firm would beat PwC’s Raises appears to be right in some cases but perhaps not all.

Sooo, Ernie troops – are you happy? Disappointed? Suicidal? Ready to jump ship? Or calling your friends at PwC to brag how you’re keeping the pace? Discuss.

Earlier:
Are Ernst & Young and PwC Neck and Neck in the Compensation Race?

KPMG Reinstating “Standing Ovation” Bonus Awards

Back in November 2008, KPMG suspended the highest level of its Encore bonus award, the Standing Ovation to “manage costs.” Since there is no shortage of exceptionalness at Radio City, the $500 awards were adding up so word came down that it was ixnay the tandingsay vationsoay.

The firm did keep its “Bravo” award that was good for $200 and replaced the five-hundo bonus with a $25 award and “thanks e-cards” that were way better than anything from Hallmark simply because Tim Flynn probably included a personalized message.

And you, simply, cannot put a dollar figure on that.


The most devastating part of the Standing O kibosh was that the trophies — which could easily qualify as a “blunt object” at a crime scene — were no longer handed out. These, understandably, are most coveted of all KPMG tchotchkes.

Well now, according to accountants familiar with the matter, the firm has reinstated the Standing Ovation for reasons that we can only speculate. It will be reserved for those Klynveldians that “go above and beyond” the call of their duties. Again, we can only speculate as to what this actually entails. Considering the fact that the hours you’ve been putting in for the last month or so have been expected, it may just mean that you have to try a little bit harder.

The reintroduction is being received tepidly, as one source told us:

Kinda meaningless to me. They don’t hand them out. Except for managers that want to get laid by younger staff.

Seconded by another source:

Just because they bring them back, doesn’t mean any partners plan on approving them. – “Oh, I nominated you for a standing ovation, but it didn’t get approved! It’s the thought that counts though, amirite?”

Another source saw it as too little, too late:

“Do they really think $500 is going to stop a mass exodus of [people] from leaving? Perhaps they should have thought about that when they didn’t give raises.”

Despite the vague qualifications for the award, it’s good to see TPTB reinstating the bonus for the sake of morale/bribery/empty hope. Now go get yourself one!

Bonus Watch: Follow-up on Grant Thornton

Thumbnail image for Thumbnail image for Grant-thornton-logo.JPGAccording to a tip we received, less than “special” people at GT are receiving bonuses too:

Based upon my salary [the bonus is] about 2%….[I’m] assuming the criteria for a bonus wasn’t as stringent as Nusbaum made it out to be, or the pool was larger than we were led to believe. Based upon the call with Nus, I figured only 5.0 would get a bonus.

A pleasant surprise for some. This particular tip came out of the Southeast region. Apparently these conversations are occurring circa now so continue to keep us updated for your city or region.

Deloitte Disappointment is Officially Starting

DTa.jpgWe’re starting to receive confirmations of last week’s rumors of the less-than-exciting details re: Deloitte-period raises:
More, after the jump

I’m a senior in Chicago moving into my fifth year, and I’m one of those 2s who got bumped to a 3, got a zero raise and a $1000 bonus. I’m apparently a “3 -plus” as they had “3-minuses” also and those folks did not get bonuses.

Also got a tip that compensation discussions are set to begin in the Northeast for the ERS and Tax practices soon so we recommend watching Leaving Las Vegas or The Reader immediately prior to your meetings to cushion the blow.

E&Y Appreciates the Little People

E&Y’s Dallas office sure appreciates their new associates because they’ll be the only ones getting pay raises this year. It’s either that or they want to the put them in the position for additional ridicule until the fresh batch of new associates comes on.
According to the tip we received, the announcement was made at the townhall meeting today and this is first office of any firm that we’ve heard of to make an official announcement to employees that pay was being frozen.
Those being promoted to a new level (e.g. SA to Manager) will receive bonuses but no details were given. We’ll update as we learn more.

Rumor of the Day: Comp and Bonus Pools at Big 4 Seriously Depleted

We’re not trying to ruin your Friday but at the very least, this might encourage some of you to get your drink on a little earlier than planned.
Rumor received late last night that a Big 4 CEO was asked about compensation and bonuses at some grin n’ grip and he responded that the compensation adjustment and bonus pools for all the Big 4 firms was going to be down 90%.
This fits together nicely with the rumors of freezing and/or cutting pay that have been going around. Okay, now try to get some work done or figure out where you’ll be having that three martini lunch.