NEW YORK ( TheStreet) -- Banks are hiring tens of thousands of workers for their mortgage and capital markets operations, a glimmer of hope in the decidedly bleak labor market.
Regulators have said time and again that tremendous taxpayer support of the banking industry was warranted only because the banks that led the U.S. into the crisis will lead the country out again. If one can read the tea leaves by looking at profit statements and job listings at the country's largest banks, other workers should stop worrying about layoffs and start looking forward to raises.
Bank of America (BAC), Wells Fargo (WFC) and JPMorgan Chase (JPM) have earned $19 billion in shareholder profits so far this year and are hiring new workers to sustain that momentum. Goldman Sachs (GS) alone has earned $7.4 billion, and is doing the same, as is Citigroup (C), whose profit statement is bogged down with too many special items to be comparable.
Those firms, and others, like American International Group (AIG), would like to offer lucrative pay packages to lure or retain the best traders, managers and senior executives. They are currently haggling with the government's pay czar or preparing PR offensives to justify such moves.For mortgage modifications alone, the top four banks -- Bank of America, JPMorgan Chase, Wells Fargo and Citigroup -- have hired 17,000 new employees, according to a report in the Wall Street Journal on Thursday. BofA, JPMorgan, Citigroup and Goldman Sachs are looking to hire another 10,000 workers, according to Forbes, mainly for their trading and investment advisory businesses as the capital markets have improved.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV