Harare, Zimbabwe (News of the South)-The executive board of Swiss multinational bank Credit Suisse has offered to take bonus cuts of 40% due to pressure from shareholders after posting losses.
The bank has posted losses over the past two financial years and the news that its board were set for a $78 million payout were received with harsh criticism from shareholders.
The board of directors has since also offered to keep executive salaries at the same level they were in 2015 and 2016 so as to assuage the shareholders.
According to Credit Suisse Chief Executive Tidjane Thiam, “the decision to cut variable compensation for the top managers reflects the total confidence they have in fixing the bank’s fortunes”.
“My highest priority is to see through the turnaround of Credit Suisse which is underway”.
“I hope that this decision will alleviate some of the concerns expressed by some shareholders and will allow the executive team to continue to focus on the task at hand”, he said.
Under Swiss law what public companies pay their executives must be approved at the shareholder annual general meeting which has the power to veto any decision.
The bank’s investors are due to vote on the decision at the annual general meeting scheduled for April 28.
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