"OCBC CEO's pay up 12% to $9.89 million in 2014 - AsiaOne Apr 06, 2015
SINGAPORE - OCBC Bank's group CEO Samuel Tsien received a total of $9.89 million in pay last year, up 12 per cent from the $8.8 million the previous year.
According to the bank's annual report released on Monday, Mr Tsien's pay consists of a salary and fees totalling $1.24 million, as well as a $5.14 million bonus, which is up from $4.5 million in 2013.
The value of share options granted to Mr Tsien was $856,000, while the value of deferred share awards granted was $2.57 million.
Other top earning directors include OCBC chairman Ooi Sang Kuang who received received a $1.01 million pay. Mr Cheong Choong Kong, who was previously OCBC chairman until August 2014 but remains on the board, was paid $1.55 million.
The Group reported a net profit after tax of $3.84 billion for the financial year that ended December 31, 2014, an increase of 39 per cent from $2.77 billion in 2013."
Well, this news report only talked about OCBC CEO's total compensation while supposedly DBS and UOB bosses did pretty well for themselves too.
Lessons for me are:
1. this can potential revive the eternal debate of 'pay for performance'. And for me, as long as the overseers are firm and wise and the KPIs are set such that variable pays are truly well deserved, plus the 'extras' are self-funded, I have no issue with paying these folks millions. Oh, one more condition, and as long as their employees feel that they deserve the millions while they themselves are not doing too badly?;
2. it also potentially bring us back to the still 'not dead' topic of 'high' political pays where the cabinet ministers truly can point to these fat bankers' compensation package and said: 'hey, I am taking charge of a MUCH MUCH BIGGER portfolio that these bankers and I am only paid in the single million a year!!??' So, in this regard, are the bankers overpaid? Should the rewards system by: X times of their lowest paid employee's package to fix their salaries and then the self-funding part of the variable pays with a wider spread of beneficiaries? i.e. all employees to share the bonus pool?;
3. of course, when these banks' performance came off the boil in subsequent years, their total pay package will shrink by the same spectacular fall, hopefully they do if the rewards system is designed properly, while political leaders' pays MAY NOT be. Also, these bankers can be fired while the political leaders rarely get fire while in office until their defeat in the next General Election. So, there are still rooms for 'arguing' if 'political reward packages should be aligned with the commercial world's pay packages!
SINGAPORE - OCBC Bank's group CEO Samuel Tsien received a total of $9.89 million in pay last year, up 12 per cent from the $8.8 million the previous year.
According to the bank's annual report released on Monday, Mr Tsien's pay consists of a salary and fees totalling $1.24 million, as well as a $5.14 million bonus, which is up from $4.5 million in 2013.
The value of share options granted to Mr Tsien was $856,000, while the value of deferred share awards granted was $2.57 million.
Other top earning directors include OCBC chairman Ooi Sang Kuang who received received a $1.01 million pay. Mr Cheong Choong Kong, who was previously OCBC chairman until August 2014 but remains on the board, was paid $1.55 million.
The Group reported a net profit after tax of $3.84 billion for the financial year that ended December 31, 2014, an increase of 39 per cent from $2.77 billion in 2013."
Well, this news report only talked about OCBC CEO's total compensation while supposedly DBS and UOB bosses did pretty well for themselves too.
Lessons for me are:
1. this can potential revive the eternal debate of 'pay for performance'. And for me, as long as the overseers are firm and wise and the KPIs are set such that variable pays are truly well deserved, plus the 'extras' are self-funded, I have no issue with paying these folks millions. Oh, one more condition, and as long as their employees feel that they deserve the millions while they themselves are not doing too badly?;
2. it also potentially bring us back to the still 'not dead' topic of 'high' political pays where the cabinet ministers truly can point to these fat bankers' compensation package and said: 'hey, I am taking charge of a MUCH MUCH BIGGER portfolio that these bankers and I am only paid in the single million a year!!??' So, in this regard, are the bankers overpaid? Should the rewards system by: X times of their lowest paid employee's package to fix their salaries and then the self-funding part of the variable pays with a wider spread of beneficiaries? i.e. all employees to share the bonus pool?;
3. of course, when these banks' performance came off the boil in subsequent years, their total pay package will shrink by the same spectacular fall, hopefully they do if the rewards system is designed properly, while political leaders' pays MAY NOT be. Also, these bankers can be fired while the political leaders rarely get fire while in office until their defeat in the next General Election. So, there are still rooms for 'arguing' if 'political reward packages should be aligned with the commercial world's pay packages!
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