Millennials who are saddled with debt such as costly mortgages might well bear the brunt of higher interest rates in the months to come, a new RBC report argues.

Older millennials, adults aged 35 to 44, had debt-to-disposable income ratios around 250 per cent in 2019, while Freestone noted that metric was roughly 150 per cent for the same age group in 1999.

Can confirm we’re sitting around 250% but this is after exercising significant restraint to not take on as much mortgage as the banks would have given us. Everyone I know who bought over the last couple of years went all out and I can’t imagine them being any lower than 300-350%.

  • cygnus@lemmy.ca
    11·
    1 year ago

    I can’t believe I’m going to defend the big banks, but are you suggesting they should keep unneeded staff on payroll if the company is profitable?

    • ITypeWithMyDick@lemmy.world
      38·
      1 year ago

      Hey youre salaried right?

      Yup

      Great, we laid off 3 people and you need to work 100 hour weeks to keep things going

      Do I get paid more?

      You can get paid in unemployment if you keep sassing like that

      Note, I have been given the line that I am expected to work 100 hour weeks. No I am not joking.

      • cygnus@lemmy.ca
        18·
        1 year ago

        I don’t think that’s the case here:

        Royal Bank’s wealth-management division bore the brunt of the reductions in the second quarter, according to filings. The unit’s headcount plummeted by almost 1,300 in the quarter, when the company sold a European asset-servicing business to a joint venture of Credit Agricole SA and Banco Santander SA. That countered a 667-person increase in Royal Bank’s capital-markets division.

        https://financialpost.com/pmn/business-pmn/rbc-plans-to-trim-jobs-as-ceo-mckay-vows-more-cost-cuts-to-come

        • ITypeWithMyDick@lemmy.world
          13·
          1 year ago

          Im going to upvote just because you provided a link to backup your argument. Need more of that.

          Edit: Just thumbed through the report, and based on my experience my above scenerio is still likely what is happening as well. Amount of work wil remain the same, but fewer people to do it.

          • cygnus@lemmy.ca
            10·
            1 year ago

            Maybe. It’s probably tone-deaf of me to say this, but in my experience “wealth management” advisors are glorified salespeople who funnel people into their bank’s overpriced mutual funds. Those people deserve the chance to a good livelihood, but that particular job is not great (and I would never suggest that people see a bank for investments to begin with).

    • Avid Amoeba@lemmy.caOP
      3·
      1 year ago

      In short, yes. At the very least this would allow for better work-life balance for their employees. If that was any priority of theirs.