Wall Street bonuses averaged $176,700 last year — down from 2021 but still 1,165 percent higher than in 1985. If the federal minimum wage had grown at the same rate, it would be worth $42.37, according to Institute for Policy Studies analysis.
An alliance of essential workers, tenants, and union members are rallying to lift New York state’s minimum wage — not to $42.37 but to a level that would at least help the poorest working families make ends meet. Based on the state’s high cost of living, the Raise Up New York coalition is proposing a floor of $21.25 per hour by 2026, indexed to inflation.
Wall Street payouts far surpass the cost of raising the minimum wage.
That would be the highest minimum wage in the country, but compared to Wall Street payouts, this demand is modest. New York City’s 190,800 Wall Street workers earned a combined $33.7 billion in bonuses for their 2022 performance. The Economic Policy Institute has calculated that raising the state’s minimum wage to $21.25 would cost far less — just $9.5 billion.
In other words, the Wall Street bonus pool is worth 3.5 times what it would cost to raise the minimum wage to a living wage for the nearly 2.9 million New York residents who now earn the current minimum of $15 an hour. It’s worth over 6.6 times what it would cost to raise the minimum wage to a living wage for the nearly 1.4 million New York City workers at the bottom of the wage scale.
If the wage hike proposal passes, minimum wage workers in New York would see an average annual increase of $3,379, a far cry from the typical six-figure Wall Street bonus, which comes on top of generous base salaries. It’s fair game to compare these respective paychecks — and demand policies that reduce the egregious gap between Wall Streeters and minimum wage workers.