Deutsche Bank Mulls Withholding Bonuses this Year
Amid increasing pressure, Deutsche Bank is contemplating holding back paying bonuses to bankers and traders.

Deutsche Bank may hold off paying out bonuses to as many as 90 percent of bankers and traders, the New York Post has reported.
According to sources, only the top 10 percent of revenue generators are in line for a bonus for 2016 which will be paid out in instalments over the next five years.
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The bonus plans are still, however, under discussion and could be subject to change in the weeks ahead.
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Last month, the German lender was hit hard when after lengthy negotiations with the US Department of Justice, it agreed in principle to a $7.2 billion deal with US authorities to resolve a probe into the alleged mis-selling of mortgage-backed securities.
Although it has been suggested that the settlement could affect the bank’s ability to pay bonuses, it has not been confirmed if the bank had used incentive compensation for the settlement.
This would not be the first time that John Cryan, Deutsche’s CEO, has cut bonuses since taking over in 2014. As recently as October, Cryan was said to be contemplating alternatives to traditional cash bonuses, part of a strategy to shore up investor confidence and augment existing capital buffers for the lender, as reported by Finance Magnates.
Last year, the bank cut the bonus pool by 11 percent and delayed paying its employees until March.
Bonuses are what motivates the lead people to continuously strive for the bank. If you take them away, then there is little left for the guys to push themselves to work harder for the bank’s coffers.
Agreed. Withholding bonuses may also lead to decreased morale, as with the bonus you might at least pay for some loyalty. It could spiral out of control, beyond what company wants. I can see trade secrets and cover ups become unwound.
@Salman – thanks, we have posted about the update and other Alpari items here http://forexmagnates.com/kpmg-reviewing-alpari-uk-trade-fills-asking-customers-cover-negative-balances/
@Salman – thanks, we have posted about the update and other Alpari items here http://forexmagnates.com/kpmg-reviewing-alpari-uk-trade-fills-asking-customers-cover-negative-balances/