This from Bloomberg.
Anyone out in the expat community who had worked in Lehman Japan might know that Nomura took the operations over after Lehman’s bankruptcy almost year and a half ago.
It looks like the entry-level people were being offered about 6 million yen at the time. But Nomura, in its regular operations, might have been offering only 2 or 2.5 million to new Japanese graduates. (This is hard to believe, but maybe not.)
So when Nomura bought Lehman, they were put in the awkward situation of paying some of the 2008-09 “doji” (people entering the company at the same time) maybe triple what others were getting.
If this affected even 50 people I would be surprised. So maybe the original news on this was more a cultural curiosity report than anything earth-shattering.
It’s highly doubtful that Nomura in its New York operations was paying anyone $25,000 to start. When the economy was better, I’m sure even the most basic job there could pay more than twenty-five.
So this year’s new class is going to be put at the same level as what last year’s Lehman class was offered ($72,000), which begs the question of what happens to the Nomura sophomores who had been placed in at 2.5 million yen? ($27,000).
The article suggests that Nomura is catching up with internationalization (the premise is that these finance jobs must be high paying). But the news stateside was that the investment houses [were, uh, are?] filled with a sizable number of incompetent people who were paid way too much.
I like to see young people make their way in life. But maybe Nomura knew what it was doing at the outset? And Lehman had the formula wrong? After all, look which one is still around . . .