bonuses

  • 02 Sep 2014 at 1:06 PM

Allowance Watch ’14: Citigroup

The Financial Times reports that Citi senior staff in Europe have received letters that essentially read:

To whom it may concern:

Please enjoy this extra money we’ll be depositing into your account each month, which is in no way, shape, or form to be construed as a bonus. Nod if you understand what we’re saying.

Best,
Citi Read more »

  • 22 Aug 2014 at 2:25 PM

Bonus Watch ’14: Citi Mistmakers

The youngest members of the House of Corbat got a little extra something in their stocking (beach bag? man or lady satchel? giant canvas sack with a dollar sign on it?) this time around. Read more »

HSBC has given 15 of its top bankers “fixed pay allowance arrangements” worth £7.1m under a controversial new pay scheme designed to dodge tough new European Union rules on bankers’ bonuses…The awards are part of big banks’ plans to increase the basic pay of executives to sidestep tough new EU rules designed to clamp down on excessive bonuses. Banks have turned to awarding fixed pay allowances after the EU ruled to cap bonuses to 200% of salary, even if shareholders wanted to approve higher payments. The new payments are counted as fixed pay, which means banks can, with shareholder approval, pay bonuses of 200% of bankers’ collective basic pay and fixed pay allowances. The fresh money, which is not subject to clawbacks designed to retrospectively recoup bonuses in the event of any wrongdoing emerging in the future, covers the first half of the year – and bankers can look forward to further payments every three months. A fifth of the shares will vest in March 2015, with the rest locked up until 2020. [Guardian]

  • 31 Jul 2014 at 12:36 PM

Clawback Watch ’22: Britain’s Banks

If you’re a banker working across the pond, get your underhanded schemes out of the way now, because come 2015, they’re going to start counting against you (and will continue counting against you vis-a-vis bonuses through 2022). Read more »

If you’re an interest-rate trader, this year’s bonus will be getting to keep your job. Read more »

Former Goldman Sachs trader Deeb Salem was awarded $8.25 million in 2010. He wanted $13 million and continues to fight for the extra 5 mill four years later because 1) While at Goldman, he was the Michael Jordan of investment professionals in the mortgage industry and had to fend off highly appealing offers from other firms on a near daily basis and 2) He had told his mother to expect 13. Read more »

The arrival of a Liberian-flagged freighter with Ukrainian, Arab and Filipino sailors spells one thing for Elena — dollars. And greenbacks are king in Venezuela, the 32-year-old prostitute says. Within hours of hearing of the ship’s imminent arrival, she has packed her bags and is heading to the crumbling city of Puerto Cabello. It is a 450-kilometer (280-mile) journey from her home in the Western state of Zulia that Elena finds herself doing more often now as Venezuela’s economy contracts, the bolivar slumps and prices soar. Prostitutes more than double their earnings by moonlighting as currency traders in Puerto Cabello. They are the foreign exchange counter for sailors in a country where buying and selling dollars in the streets is a crime — and prostitution isn’t. Greenbacks in the black market are worth 11 times more than the official rate as dollars become more scarce in an economy that imports 70 percent of the goods it consumes. [Bloomberg]