HSBC's new chief's Pay (HK$120mill in 2009)
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HSBC's new chief's Pay (HK$120mill in 2009)
We should have been bankers... These guys know how to squeeze the life blood out of others.. and tighten their control on the general population.
Workers with skills that matter need to take a stronger stance !! To level the efforts of inflation..
Stuart Gulliver, who emerged from Friday's management shake-up at HSBC Holdings (SEHK: 0005, announcements, news) as the chief executive-designate, faces a pay cut of close to 40 per cent compared with his earnings last year once he starts his new job in Hong Kong in January.
Gulliver (pictured) currently heads HSBC's global banking and markets operations and received total remuneration last year of £9.83 million (HK$120 million), including a base salary of £800,000 and a whopping £9 million deferred bonus.
As chief executive, Gulliver will see his base salary rise to £1.25 million. But under HSBC's current compensation policy, his future bonus is capped at four times his annual salary - meaning his maximum pay will be around £6.25 million, not including an annual pension allowance of around £600,000.
"Stuart Gulliver's total compensation is expected to be less than he currently receives," HSBC said in a statement announcing the appointment. This is despite the added responsibility of the chief executive role.
The discrepancy in pay is due to different bonus plans.
Gulliver, who joined HSBC in 1980 and has worked in Hong Kong, Tokyo and Kuala Lumpur, is largely credited with spearheading the rapid expansion of the bank's capital markets business since he took over the segment in the early 1990s.
Last year saw HSBC's profit from the segment soar as global markets rallied in a broad recovery from the September 2008 onset of the financial crisis.
Gulliver's "compensation arrangements take into account wholesale banking market practice", according to HSBC's annual report. In turn with the market rally, he saw his bonus balloon to £9 million last year, more than double that of outgoing chief executive Michael Geoghegan during the same period.
Still, other factors are likely to weigh on the overall value of Gulliver's take-home package. Markets don't always outperform like they did last year. Indeed, Gulliver received no bonus in 2008, while Geoghegan received a £4 million bonus - which he donated to charity.
At the same time, Gulliver's move to Hong Kong from London will entitle him to a generous expatriate housing and living allowance.
And not to be overlooked is the significant potential impact of differing rates of income tax on take-home pay. Britain's income tax rates are around 50 per cent at the upper levels, while Hong Kong's are capped at a more bearable 15 per cent.
Gulliver's appointment came amid a broader shake-up at HSBC in the wake of the announcement earlier this month that chairman Stephen Green was leaving to take up a post as Britain's trade minister.
The Financial Times last week reported there had been a boardroom dispute at the bank, with Geoghegan threatening to resign if he was not made chairman.
Speaking in a media conference call following the bank's announcement, Geoghegan dismissed the report as nonsense and said he had made the decision to retire 10 days ago.
Geoghegan will step down as chief executive at the end of the year but remain a consultant to the bank until next March, HSBC said.
Green will be replaced as chairman in December by current chief financial officer Douglas Flint, who, like Green, will be based in London.
Workers with skills that matter need to take a stronger stance !! To level the efforts of inflation..
Stuart Gulliver, who emerged from Friday's management shake-up at HSBC Holdings (SEHK: 0005, announcements, news) as the chief executive-designate, faces a pay cut of close to 40 per cent compared with his earnings last year once he starts his new job in Hong Kong in January.
Gulliver (pictured) currently heads HSBC's global banking and markets operations and received total remuneration last year of £9.83 million (HK$120 million), including a base salary of £800,000 and a whopping £9 million deferred bonus.
As chief executive, Gulliver will see his base salary rise to £1.25 million. But under HSBC's current compensation policy, his future bonus is capped at four times his annual salary - meaning his maximum pay will be around £6.25 million, not including an annual pension allowance of around £600,000.
"Stuart Gulliver's total compensation is expected to be less than he currently receives," HSBC said in a statement announcing the appointment. This is despite the added responsibility of the chief executive role.
The discrepancy in pay is due to different bonus plans.
Gulliver, who joined HSBC in 1980 and has worked in Hong Kong, Tokyo and Kuala Lumpur, is largely credited with spearheading the rapid expansion of the bank's capital markets business since he took over the segment in the early 1990s.
Last year saw HSBC's profit from the segment soar as global markets rallied in a broad recovery from the September 2008 onset of the financial crisis.
Gulliver's "compensation arrangements take into account wholesale banking market practice", according to HSBC's annual report. In turn with the market rally, he saw his bonus balloon to £9 million last year, more than double that of outgoing chief executive Michael Geoghegan during the same period.
Still, other factors are likely to weigh on the overall value of Gulliver's take-home package. Markets don't always outperform like they did last year. Indeed, Gulliver received no bonus in 2008, while Geoghegan received a £4 million bonus - which he donated to charity.
At the same time, Gulliver's move to Hong Kong from London will entitle him to a generous expatriate housing and living allowance.
And not to be overlooked is the significant potential impact of differing rates of income tax on take-home pay. Britain's income tax rates are around 50 per cent at the upper levels, while Hong Kong's are capped at a more bearable 15 per cent.
Gulliver's appointment came amid a broader shake-up at HSBC in the wake of the announcement earlier this month that chairman Stephen Green was leaving to take up a post as Britain's trade minister.
The Financial Times last week reported there had been a boardroom dispute at the bank, with Geoghegan threatening to resign if he was not made chairman.
Speaking in a media conference call following the bank's announcement, Geoghegan dismissed the report as nonsense and said he had made the decision to retire 10 days ago.
Geoghegan will step down as chief executive at the end of the year but remain a consultant to the bank until next March, HSBC said.
Green will be replaced as chairman in December by current chief financial officer Douglas Flint, who, like Green, will be based in London.
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What makes a good banker
What makes a good banker
When asked to tell an interview board "something remarkable" it pays to be circumspect.
Efinancialcareers.com tells the story of a candidate at a third-round interview for a US investment bank who was asked, "Tell us something remarkable."
The candidate blurted out, "I have been dating my girlfriend for three years at university and have never been faithful, and she has never once found out. That is remarkable."
This did not go down as well as expected with the head interviewer responding, "I cannot put this simpler: banking involves trust and integrity. You have just blown this interview."
However, as one wag pointed out, if the candidate had simply told the head interviewer rather than the whole panel he would probably have been hired instantly for possessing exactly the qualities the industry has long relied on - behind the carefully cultivated facade of trust and so on.
When asked to tell an interview board "something remarkable" it pays to be circumspect.
Efinancialcareers.com tells the story of a candidate at a third-round interview for a US investment bank who was asked, "Tell us something remarkable."
The candidate blurted out, "I have been dating my girlfriend for three years at university and have never been faithful, and she has never once found out. That is remarkable."
This did not go down as well as expected with the head interviewer responding, "I cannot put this simpler: banking involves trust and integrity. You have just blown this interview."
However, as one wag pointed out, if the candidate had simply told the head interviewer rather than the whole panel he would probably have been hired instantly for possessing exactly the qualities the industry has long relied on - behind the carefully cultivated facade of trust and so on.
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One with military Caribou experience, internet dating addiction & a Porsche 911 turbo (automatic) 
Last edited by Capt Toss Parker; 26th Sep 2010 at 09:47.
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Bankers are the scourge of society, absolute vermin, I get sick to death of living in a city absolutely teeming with the self important, arrogant, satanic 
. The sooner we get back to a version of living that relies on good family values in which we can trust one another, the better. As they say **** rolls downhill, everything these get away with changes the value system for the world at large, people become sensitized to evil and can no longer recognise which way is the correct way anymore. Case in point Goldman Sachs, those bastards should have been hung from the rafters but because they have so much clout in the US political sphere look what happened, they got of scot free. WORKERS UNITE. We need to no longer comply with the Big Brother banker controlled state we now live in.
. The sooner we get back to a version of living that relies on good family values in which we can trust one another, the better. As they say **** rolls downhill, everything these get away with changes the value system for the world at large, people become sensitized to evil and can no longer recognise which way is the correct way anymore. Case in point Goldman Sachs, those bastards should have been hung from the rafters but because they have so much clout in the US political sphere look what happened, they got of scot free. WORKERS UNITE. We need to no longer comply with the Big Brother banker controlled state we now live in.
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ExEzy, I don't quite agree with you.
Although bankers may be everything you have mentioned, if you want to apply blame then you must look further up the chain, and in this case it is the governements that create the system that would be at fault.
Bankers (and Central Bankers are the Kings) are merely an extension of the moraly corrupt "keep me in power at all costs" system that politicians of all stripes perpetuate.
After all, banks can only lend (or invest) money that has been given to them by someone. Euro banks require 6% cash reserves (Aussie banks are around 2%) - don't know what the US requirements are. With such low reserves, where do you think the money comes from? Freddie/Fannie and all the non-bank lenders are handed squillions by the governments and are told to "give it away"!
Absolute power corrupts (and all that).
Rail against those bastards that only stand for "being in power and spending other peoples' money".
If politicians stuck to spending only what the government receives in tax, then none of this would ever be a problem because the banks would have to go back to lending only what they recieve in deposits!
Although bankers may be everything you have mentioned, if you want to apply blame then you must look further up the chain, and in this case it is the governements that create the system that would be at fault.
Bankers (and Central Bankers are the Kings) are merely an extension of the moraly corrupt "keep me in power at all costs" system that politicians of all stripes perpetuate.
After all, banks can only lend (or invest) money that has been given to them by someone. Euro banks require 6% cash reserves (Aussie banks are around 2%) - don't know what the US requirements are. With such low reserves, where do you think the money comes from? Freddie/Fannie and all the non-bank lenders are handed squillions by the governments and are told to "give it away"!
Absolute power corrupts (and all that).
Rail against those bastards that only stand for "being in power and spending other peoples' money".
If politicians stuck to spending only what the government receives in tax, then none of this would ever be a problem because the banks would have to go back to lending only what they recieve in deposits!
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Glass houses
It is just as easy for someone to look at the portrayed package a CX or KA pilot gets, and compare it to other pilots on even worse deals. The obvious conclusion would be that CX/KA pilots are over-paid for doing the same job as many others are doing for less.
However, things are never that simple...
However, things are never that simple...
Yeah..I'm sure your banker would jump at getting into your Cessna 172...
. You might have a chance if you have a biz jet.
. You might have a chance if you have a biz jet.
Last edited by Captain Dart; 30th Sep 2010 at 05:45.
!
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True the government are to blame also but the Federal Reserve is not exactly "Federal", it's a private consortium of various banks, it definately is not for the people. And no, this is no conspiracy theory it's fact, well documented.
INSIDE JOB: New Documentary Exposes How 'Banksters' Continue To Steal Our Money - David Icke Website
INSIDE JOB: New Documentary Exposes How 'Banksters' Continue To Steal Our Money - David Icke Website
Last edited by EXEZY; 4th Oct 2010 at 13:20.
