September 25, 2023


Move Step By Step

Morgan Stanley cuts CEO Gorman’s pay in 2022

1 min read

Morgan Stanley reduce CEO James Gorman’s compensation by 10% to $31.5 million for 2022, a yr wherein revenue tumbled and the shares sank.

The bundle consists of $1.5 million in wage and a $7.5 million money bonus, the agency stated in a submitting Friday. The overwhelming majority is within the type of $22.5 million in equity-linked awards, which pay out in shares.

The financial institution thought-about Gorman’s “excellent particular person efficiency, together with his management of the agency’s technique, core values and tradition, and the agency’s strong monetary efficiency,” it stated. However, “in a difficult financial and market atmosphere, agency efficiency for 2022 was not as sturdy because the prior yr wherein the agency achieved report monetary efficiency.”

The pay bundle follows an intense, industrywide give attention to compensation and different bills amid a stoop in dealmaking and concern concerning the influence a possible recession would have on Wall Avenue income. At Morgan Stanley, that translated right into a spherical of 1,600 cuts from December in a world workforce of about 82,400. 

On Thursday, JPMorgan Chase stated it was keeping pay for its chief, Jamie Dimon, at $34.5 million for his work in 2022.

Gorman, 64, received a 6% increase in pay for 2021 after the New York-based firm posted its most worthwhile yr ever. A yr earlier, he vaulted previous Dimon because the best-paid CEO of a serious U.S. financial institution. 

In 2022, Morgan Stanley’s revenue slid by greater than 1 / 4 and the shares misplaced greater than 13%.

Copyright © All rights reserved. | Newsphere by AF themes.