Okay, that’s not entirely fair- employees will receive some of the cash they earned in 2010 this year, some in 2012, a little in 2013, and the remainder of the payout in 2014 (all of which is subject to a clawback clause). Sound like fun? It’s the Swiss bank’s take on tantra.

Credit Suisse said Monday it will alter how it pays banker bonuses for 2010, taking into account shareholder criticism and increasing government involvement in year-end rewards.The Zurich-based bank’s cash bonuses will be paid out over four years—one-quarter annually—and be linked to Credit Suisse’s return-on-equity from next year to 2014. The return on equity over the four years represents the maximum potential for the cash awards to rise, Credit Suisse said. Cash bonuses can be clawed back should employee actions later prove to harm the bank, its reputation or earnings, Credit Suisse said.

In bonuses paid out as bank stock, Credit Suisse is removing leverage from 2010’s plan, which investors had criticized in past years because bankers could win additional shares depending on the bank’s share price, without ceding any shares if the stock slumped.Credit Suisse is also lowering to 50,000 Swiss francs ($51,500) the threshold for bonuses to be deferred as opposed to paid out in cash, from 125,000 francs previously.

Credit Suisse Tweaks Bonus Plan [WSJ]

27 comments (hidden to protect delicate sensibilities)
Show all comments ↓

Comments (27)

  1. Posted by Mr. Webster | January 10, 2011 at 3:35 PM

    “Tantric Bonuses” should become a staple in Wall St. lexicon. Brilliant.

  2. Posted by LordGuest | January 10, 2011 at 3:38 PM

    agreed. and it works on so many levels- tantric sex or tantric bonuses, in the end you’re getting screwed.

  3. Posted by Anonymous | January 10, 2011 at 3:45 PM

    “Tantric Bonus” = sheer genius. Let’s make it “Word of the Year” for 2011

  4. Posted by Guest | January 10, 2011 at 3:58 PM

    phrase maybe?

  5. Posted by tits | January 10, 2011 at 4:03 PM

    ” All this time CS employees never realized they were having the best sex of their lives while on the Job ”

  6. Posted by please spend it here | January 10, 2011 at 4:10 PM
  7. Posted by Winny | January 10, 2011 at 4:17 PM

    LOL…Tantric….indentured….servitude

  8. Posted by Vendeur de Petrol | January 10, 2011 at 4:20 PM

    Does that mean I won’t get my bonus?

    -A Certain Trader for a Certain Bank Associated with Switzerland

  9. Posted by Guestosaurus | January 10, 2011 at 4:28 PM

    just think of it as a generous contribution to your retirement account – it will be models&bottles for you in some assisted living facility in Florida, circa 2060.

  10. Posted by Guestosaurus | January 10, 2011 at 4:28 PM

    just think of it as a generous contribution to your retirement account – it will be models&bottles for you in some assisted living facility in Florida, circa 2060.

  11. Posted by ABCs | January 10, 2011 at 4:34 PM

    Sonoma Valley Bank shareholders got the long hard one as outline by these guys from
    facebook/ sonoma grapevine
    http://www.xtranormal.com/watch/8247717/

  12. Posted by hmmm | January 10, 2011 at 5:17 PM

    these appear to be actual crooks-seen @ facebook/somona grapevine
    http://www.xtranormal.com/watch/8242405/

  13. Posted by LordGuest | January 10, 2011 at 5:24 PM

    it means you’ll get your bonus over 4 years.

    -reading comprehension, get some of it.

  14. Posted by Shots Fired | January 10, 2011 at 5:40 PM

    You’re an idiot.

  15. Posted by Shots Fired | January 10, 2011 at 5:40 PM

    You’re an idiot.

  16. Posted by Ron Mexico | January 10, 2011 at 5:45 PM

    On a related note, anyone who received herpes from me will not receive the positive test results back until 2012

  17. Posted by Blistex | January 10, 2011 at 6:05 PM

    Hahaha

  18. Posted by MD | January 10, 2011 at 6:27 PM

    Kiddies,

    Search elsewhere to get rich before 30.

    The BB will essentially become like Big 6 firms (now 4); where you get paid like crap for 10yrs, are enslaved with pitch-trips to Des Moines, then hopefully you make Partner @35….ie, an EY Partner < $1M cash.

    BB will essentially become an outsourced industry like accounting; comps, pitch books, merger model aint rocket science. India does half the data pull already.

    The days of a VP walking out the door with $750K cash like i did in 1999 are over, forever.

    And the chances of being an MD millionaire after tax (risk adjusted: ie, bear mkt, layoffs, crap stock) are lower in BB than anywhere. And try getting a job at 35, after u executed for 10yrs for MDs, and have no clients…..thats like 75% of Directors/ExD.

    Most Bankers last 2-5 yrs at any BB job, so you will never collect; and any guarantee elsewhere will cliff-vest it out further or have leakage or switching costs.

    go to PE or HF….even crappy 2nd, 3rd tier ones; as the payout on 1 good year or carry on one 5-10 bagger, beats this crap x5.

    Ignore at your peril or check lifestyle of ex-Anderson partners living in LI doing taxes.

  19. Posted by YouMakeGoldDiggerCry | January 10, 2011 at 6:39 PM

    So, are you seeing anyone

  20. Posted by Anonymous | January 10, 2011 at 6:51 PM

    VP in 1999? you are old bro, GTFO

  21. Posted by Guest | January 10, 2011 at 6:54 PM

    You can have some of my Valtrex. XOXO

    -P. Hilton.

  22. Posted by Guest | January 10, 2011 at 7:17 PM

    “kiddies”

    I’m 42 (and everyone I know who reads DB- at my firm and elsewhere) is over 30. and I already knew to go work at a hedge fund, where I’ve been for the last ten years. Thanks for putting on your “wise elder” hat though, that was fun.

  23. Posted by Guest | January 10, 2011 at 7:40 PM

    Do you see BB firms continuing to be the gateway to working at many PE and HF shops?

  24. Posted by SpammersAreDouchebags | January 10, 2011 at 10:46 PM

    Please spam it elsewhere. Then kill yourself.

  25. Posted by CEO | January 10, 2011 at 11:08 PM

    Be glad your getting anything..last I checked brain surgery isn’t being performed..wall street could layoff 50% and they would still be overstaffed..

  26. Posted by Guestosaurus | January 11, 2011 at 10:45 AM

    unfortunately the days that everyone that came through the door at a PE shop got carry is gone – the big PE firms are the new ibanks, at best.

  27. Posted by Bonus Praecox | February 14, 2011 at 9:45 AM

    It’s 2015, not 2014.
    For work done in 2010, cash will be paid beginning of 2011, and deferred comp will be paid in 4 parts beginning of 2012, 2013, 2014, and 2015
    (if the first chunk were paid in now in 2011, it wouldn’t be deferred, would it.)
    Back to tantra practice, bonus praecox.