Barclays finds way to sidestep bonus cap
LONDON Nov 22 (Reuters) - British bank Barclays Plc is to introduce a "role-based pay" element next year to get around Europe's incoming bonus cap.
Under the plan, Barclays will give senior staff an additional monthly cash sum - on top of base pay and variable bonuses - which would be reserved for those occupying specific risk-taking roles.
The bank said in a memo to investment bankers on Thursday it will add a new element of fixed pay that will be set at the start of the year for any employee affected by the EU's new rule, which caps their bonus to 200 percent of their salary.
"The introduction of role based pay allows Barclays both to comply with the legislation and offer market competitive compensation to employees," a copy of the memo seen by Reuters said.
"This outcome has been reached following consultation with our regulator and major shareholders," it added.
- Police hunt for motive as search for Malaysian jet spans hemispheres |
- Crimeans vote over 90 percent to quit Ukraine for Russia |
- Ukraine, Russia agree Crimea truce until March 21-Ukraine minister
- Malaysian PM says lost airliner was diverted deliberately |
- Democrats seek ways to limit Obamacare fallout after Florida defeat