Fat bonuses are a thing of the past at Deutsche Bank, which said on Monday that “variable compensation” was cut by 77 percent in 2016 compared to the previous year, down to €500 million.
Chief Executive John Cryan, long a critic of high payouts in the banking sector, has taken a 10 percent pay cut to €3.4 million ($3.65 million) for this year and in 2016 passed on a bonus for a second year in a row, as did other senior executives at the bank.
Despite the cut, Mr. Cryan’s base salary is still well above that of other chief executives of top German companies, according to research by consultancies hkp and Willis Towers Watson. He gets more than the €2.03 million paid to the head of industrial giant Siemens, Joe Kaeser, for example.
But because Mr. Cryan isn’t being paid a bonus, his remuneration ranks quite far down among the heads of the 30 companies in the DAX stock market index.
Nonetheless, his base pay remains respectable by comparison with that of other bank bosses. The base salary of UBS Chief Executive Sergio Ermotti was €2.3 million in 2016. Jean-Laurent Bonnafé, the head of BNP Paribas, got €1.25 million and even Goldman Sachs chief Lloyd Blankfein got a base salary equivalent to €1.9 million in 2016.