The Goldman Sachs Incorporation came into public in the year of 1999 and since then there has been no rise in the base salary of the partners and the executives of the company. But this year saw the company pay the Chief Executive, Mr. Lloyd Blankfein an amount of 2 million dollars which is three times of his normal salary. It is the first time in about ten years that the company boosted the salary of its employees. The news was disclosed late Friday when the securities were being filed. It is an indication that the pay culture of Wall Street is swaying from the much criticized bonuses which fuelled risk taking. Previously there was reckless being taken for obtaining bonuses which ultimately led to huge losses contributing to financial crisis.

After the reports of an increase in salary of the partners and executives of Goldman Sachs Incorporation there have been several companies trying to replicate it, among them being Bank of America, Morgan Stanley and Citigroup Incorporation. The salary increase of Goldman Sachs will affect about 470 partners out of 36500 employees of the company. Several lawmakers and regulators are in favor of providing higher salaries they feel it will restrain the employees from taking reckless risks to earn bonuses. This in turn will have a good effect in the long term performance of the company. Hence the Wall Street firms have been under pressure so that they give out high salaries to curb the fanatic risk taking as then the employees will be encouraged to concentrate on the future performance of the company in a better way.

The Goldman Sachs Incorporation also revealed their policy of providing stock as awards and bonuses to the best executives of the company based on their performance in the year 2010. The chairman of Goldman Sachs, Mr. Blankfein received about 78111 shares worth 12.6 million dollars as on Wednesday. His stock award in 2010 is about 40 percent higher than that of 2009 which was a bonus of 9 million dollars.