March 26, 2018 / 5:19 PM / a year ago

UPDATE 1-Wall Street bonuses rise 17 pct in 2017 -report

(Updates with DiNapoli comment, background, graphic)

By Reade Levinson

NEW YORK, March 26 (Reuters) - The average Wall Street bonus rose 17 percent to $184,220 in 2017, according to a report released on Monday by New York state’s chief fiscal officer.

The securities industry averaged 176,900 jobs in New York City last year, down slightly after three straight years of gains.

In total, Wall Street banks paid $31.4 billion in bonuses to employees during the traditional December-March bonus season.

Employment in the industry, a key component of the city’s economy, remains 6 percent smaller than before the financial crisis in 2007.

Profits for the broker-dealer operations of New York Stock Exchange member firms meanwhile jumped 42 percent to $24.5 billion, the highest level since 2010, driven by growth in wealth management fees, underwriting and M&A advisory fees, the report said.

“It is too soon to tell how increased volatility in the financial markets might impact profits in 2018,” New York Comptroller Thomas DiNapoli said in the report.

For an interactive graphic of bonuses, click:

The report is based on tax withholding data and does not include stock options or other forms of deferred compensation.

In a conference call with reporters on Monday, DiNapoli said it was too early to project how changes to the federal tax code, which eliminated the corporate deduction for performance-based pay beginning in 2018, would impact business in the coming year.

He estimated one in 10 jobs in New York City are either directly or indirectly associated with the securities industry.

Over the last eight years, the average bonus on Wall Street has increased 31 percent while the federal minimum wage has remained unchanged at $7.25 since 2009.

Reporting by Reade Levinson; Editing by Meredith Mazzilli, Daniel Bases and Cynthia Osterman

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