Amid the ongoing job cuts and pay cuts, the latest renowned organization that has come forward is the British multinational bank and financial services provider HSBC.
In the most recent development, HSBC has reportedly slashed its annual bonus pool by 4% to reduce awards given away to its banker employees.
HSBC has pared its annual bonus pool to $3.4 billion in the year 2022, a cut of 4% amid the ongoing global slump in dealmaking.
However, the catch here is that despite the bonus cuts for all of its employees in the year, the Chief Executive of the global banking major, Noel Quinn has witnessed his pay package surge by 14%.
Quinn’s salary in 2022 jumped by 14% to 5.6 million pounds or $6.7 million, up from 4.9 million pounds in the preceding year.
Further, adding the once long-term incentive awards, Quinn’s total pay shall further to 10.5 million pounds, HSBC stated.
HSBC is the largest bank in Europe by total assets and is based in London.
Despite the ongoing global slump which has led HSBC to cut down its annual bonus pool, there are some British banks that are continuing to pay attractive bonuses to their employee bankers.
In the quarter ended on December 31, 2022, the London-based global bank HSBC reported a 92% jump in net profit, pledging more regular dividends and share buybacks.
“There will be no easing off at all on costs. We are now considering up to $300 million of additional costs for severance in 2023,” Quinn had said.
The bank said that it prioritised to increase the payouts for high performers in its commercial bank, along with for more junior staff pool, while the amount of bonus decreased in its global banking and markets arm following a horrible year for deals.
