Therefore, the loss of financial industry jobs to other states could end up bleeding New York governments of millions of dollars in revenues that feed the budgets and pay for public services, the comptroller’s analysis warns. Employment in New York City’s securities industry declined by nearly 2 percent - or 3,600 jobs - in 2020, according to the report. Wall Street has long been a cash cow to Albany and City Hall coffers because of income tax revenues collected from its employees’ big-bucks salaries and bonuses. AP Photo/John MinchilloĪnd in 2021, the jobs outlook is even worse, with the industry on pace to bleed 4,900 jobs, the report said, attributing the loss of jobs amid soaring profits to advances in technology and the relocation of jobs elsewhere.Īs of August, the city was home to just 17.8 percent of all securities industry jobs, the comptroller noted - a 32-year low.īy comparison, the US as a whole is projected to add 23,000 securities jobs this year.
The securities industry produced one-fifth of all wages paid in New York City last year. “As we prepare for an eventual slowdown in Wall Street’s record activity, we need to ensure New York’s Main Street, and its other vital sectors, are also recovering.”īut perhaps even more worrisome, the report warned, is the continued shedding of high-salaried Wall Street jobs - which provide substantial tax revenues to both New York state and New York City government coffers.Įmployment in New York City’s securities industry declined by nearly 2 percent - or 3,600 jobs - in 2020, according to the report. “Financial markets move in cycles, however, and profits will subside at some point,” DiNapoli said. The financial industry’s success has been a boon to the state’s economy as it recovers from the COVID-19 pandemic, but as interest rates are expected to rise and coronavirus-related federal stimulus dries up, DiNapoli worries the bull may stop running. Wall Street recorded its strongest first half since 2009, generating a hefty $31 billion in pre-tax earnings in the first six months of the year, the report from Comptroller Tom DiNapoli said. Wall Street profits surged in the first half of 2021 thanks to record low interest rates - but the securities industry is bleeding jobs, which could spell doom for New York’s economy, according to an analysis released Thursday by the state comptroller. Jamie Dimon ‘regrets’ saying JPMorgan will outlive the Chinese Communist Party ‘Fearless Girl’ artist says banking giant holding statue hostage Goldman CEO defends DJ’ing habit, admits Barry Manilow a ‘guilty pleasure’Įlon Musk unloads Tesla shares for over $10B
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